Saffron introduces flexible self-build mortgage
Getting your hands on funds as and when they’re needed is a common issue for many self-builders. Saffron seeks to overcome this with their newly launched interest-only mortgage.
Cash can be drawn-down as it’s required throughout the project, doing away the restrictions imposed by inflexible stage payments.
Available for a maximum period of 24 months, the product has a 4.2% interest rate, 1% arrangement fee and no early repayment charges. This frees up self-builders to move to a more suitable policy at any time, such as once your new home is habitable and you've sold your previous dwelling.
Saffron will lend up to its limit of 75% of the development value (consisting of 100% of the build costs and a maximum of 65% of the plot’s purchase price).
“We’ve listened carefully to feedback for self-builders, who tell us they want to keep mortgage costs to a minimum during the build period and that they also want the flexibility to draw down funds as and when required, rather than being tied to an inflexible stage payment system,” says Anita Arch, head of mortgage sales at Saffron. “This deal, which offers a combination of a discount, interest-only payments and drawdowns as required, ticks all the boxes.”
The Melton launches new self-build starter mortgage
The Melton has added to its selection of self-build mortgages with a new family assist package, which is aimed at first time buyers. This mortgage considers up to four incomes from parents and grown-up children to a maximum loan size of £250,000.
The loan will cover 75% of the total cost of the self-build project. This innovative scheme allows lower income earners the possibility of building a home, which might otherwise be unreachable.
Image: self-build designed by Anderson Orr Architects
Login or register to post comments
|Self-Build Study Trip a Success In a drive to increase self and custom build opportunities Teignbridge District Council recently hosted several other local authorities from the south west to share their experiences.|
|Four Months' Wait For Builders Says Research According to new research published by the Federation of Master Builders (FMB), you should book in a contractor four months before you plan to begin onsite works to avoid missing out on securing a|
|Calls for Self-Build Revolution Richard Bacon MP is pushing for more land to be made available to help people commission their own homes.|
|RUSS Plans Community Self-Build Centre Community land trust RUSS has launched a crowdfunding campaign to finance its self-build community space.|
|Luxury Self-Build Opportunity An executive self-build development at Wynyard Park is proving popular, with over 60 plots sold or under construction across the site in north east England.|