Of those lenders that offer Self Build Mortgages in Northern Ireland the maximum Loan To value tends to be 75%. The biggest difference between a self-build mortgage and standard residential mortgage is that the funds are given to you in stages rather than as a single lump sum. This is to reduce the lender's risk and ensure that the money is spent as planned so you don't run out when you are only half way through the self-build project
Example of stage payments:
- Stage 1: Foundation
- Stage 2: First floor brickwork and wall plate
- Stage 3: Roofed in and tiled
- Stage 4: Plastered out
- Stage 5: Completion
For an application the lender will require in addition to standard documentation the following documentation:
- Site map copy;
- Copy of Planning Permission/Building Control;
- Final drawings/plans;
- Professional Indemnity Insurance, if a Professional Consultant is inspecting during construction of the build
Other key points to note:
-The deeds of the site must be registered in the same names as the mortgage applicant(s).
- if there are restrictive covenants on Title the lender is unlikely to process the application.
-The Lender will take into consideration the access to the property, the proximity of family land/agricultural or other outbuildings.
-Your mortgage payment is based on total balance at each drawdown stage until final drawdown stage.
We are chuffed to share with you some of our clients beautiful unique self-build homes.
