Ipswich Building Society will now include modern methods of construction (MMC) in their self-build lending criteria.
This change will benefit new home builders looking to borrow, as well as those wishing to remortgage. The new criteria will apply to the Society’s existing range of mortgage products, including its recently relaunched self-build discount product.
MMC describes alternative build methods that differ from traditional systems. These increasingly popular options include off-site construction, pre-fabrication and factory-built routes.
To be eligible for a mortgage, your chosen self-build scheme must be accredited through the Buildoffsite Property Assurance Scheme (BOPAS). This is a joint initiative developed by Buildoffsite, The Royal Institution of Chartered Surveyors, Lloyd’s Register and Building LifePlans Ltd, in consultation with the Council of Mortgage Lenders (now UK Finance) and the Building Societies Association.
BOPAS provides lenders with assurance that the properties against which they’re lending will be durable and saleable for a minimum of sixty years.
Each mortgage application will be considered by the Society on a individual basis.
Richard Norrington, CEO at Ipswich Building Society, commented, “Through our commitment to seeing diversity in mortgage lending, we have made changes to our lending criteria to further support the growing community of self-builders.
“I am delighted that we continue to offer mortgage applicants an alternative to the machine-only mortgage application processes used by some larger lenders. By assessing each mortgage application on its individual merits, we can take a true assessment on credit-worthiness, and make an informed decision when lending.”