Self-Build Mortgages

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Find the right self-build finance package for your project in our regularly updated mortgage rates table, courtesy of BuildStore

How to use the self-build mortgage tables

Abbreviations in the tables:

OPP: Outline planning permission

DPP: Detailed planning permission

BS: Building Society

These tables are a guide to the various mortgage products currently available for self-builders. The information is verified monthly by BuildStore and was last updated on 30th August 2017.

The first table lists advance stage payment mortgages (where lenders pay out an agreed tranche of the loan prior to the commencement of agreed stages of a project).

The second reveals the latest arrears stage payment mortgages (where lenders pay out funds after completion of pre-agreed stages of the build).

Simply click on the relevant lender's name in the table to open the website and get more details on the products listed here (most of these mortgages are available through BuildStore).

For more information on how these lending packages can work for your project, check out our feature on applying for a self-build mortgage.

Guaranteed Advance Stage Payment Self-Build Mortgages (BuildStore exclusives):

Created by BuildStore, these products pay out prior to the start of each phase of works – offering cashflow benefits for those requiring guaranteed capital.

Lender's name Lends on land % end value of property Interest Rate 1st stage payment
Bath BS (Accelerator) 85% 80% 4.49% DPP & Building Regs granted
Darlington BS (Accelerator) 85% 80% 5.49% DPP & Building Regs granted
Furness BS (Accelerator) 80% 80% 4.99% DPP & Building Regs granted
Hanley Economic BS (Accelerator) 85% 80% 4.99% DPP & Building Regs granted
Mansfield BS (Accelerator) 85% 85% 5.19% DPP & Building Regs granted
Melton Mowbray BS (Accelerator) 85% 75% 5.24% DPP & Building Regs granted
Penrith BS (Accelerator) 85% 75% 5.50% DPP & Building Regs granted

Arrears Stage Payment Self-Build Mortgages (BuildStore exclusives):

These products pay out in stages following completion of pre-agreed phases of the works, so are best suited to those with significant capital (eg savings or the cash from the sale of your current home).

With this type of mortgage, you fund each phase yourself. The lender will then reimburse you to a percentage of the value of the project at that stage. The trigger points for these draw downs can vary, but a typical pattern might be: foundations; wall plate; wind & watertight; first fix; completion. The exact value of each stage of works will be determined by the lender’s surveyor.

BuildStore exclusives (arrears and advanced) can lend on plots with only outline rather than detailed planning consent (which is not always the case with other products).

Lender's name Lends on land % end value of property Interest Rate 1st stage payment
Buckinghamshire BS 75% 75% 4.59% Foundations
Chorley BS 85% 80% 4.74% Foundations
Darlington BS 80% 80% 4.99% Foundations
Dudley BS 50% 75% 5.49% Foundations
Furness BS 80% 80% 3.99% Foundations
Hanley BS 85% 80% 4.24% Foundations
Holmesdale BS 85% 80% 5.24% Foundations
Ipswich BS 75% 75% 4.84% Foundations
Loughborough BS 75% 75% 4.54% Foundations
Mansfield BS 80% 80% 4.74% Foundations
Newcastle BS 80% 80% 5.40% Foundations
Nottingham BS 65% 75% 4.39% Foundations
Penrith BS 85% 75% 5.50% Foundations
Stafford Railway BS 85% 75% 4.25% Foundations

Arrear Stage Payment Mortgages (Other):

Lender's name Lends on land % end value of property Interest Rate 1st stage payment
Cumberland BS 75% 75% Call Flexible
Ecology BS 80% 80% 4.65% Flexible
Halifax 75% 75% 5.64% Foundations
Hinckley & Rugby BS N/A 75% 5.64% Footings
Newbury BS 66% 75% 4.70% Foundations
Progressive BS N/A 75% 4.25% Wall plate
Scottish BS 80% 80% 5.99% Foundations
Vernon BS 75% 80% Call Wall plate

What to consider when applying for a self-build mortgage

Applying for a mortgage is more complicated than ever, with new affordability rules to understand as well as a variety of changing criteria to keep up with.

With a self-build or renovation project this can become even more challenging, as there is so much more to consider when arranging your finance. For instance, where do you intend to live whilst your new house is being built and how will the cost of these arrangements (ie mortgage or rent payments) affect the amount you are able borrow to construct the new property?

Most lenders now take these costs into account when assessing your project profile and what level of funding you can afford to service. This will be the case even if the costs are only short term – so it makes sense to find out early on exactly what your borrowing options are, as different lenders will apply different rules.

ImageJeremy Phillips - Characterful Low Cost Self Build Home