Thinking of building your own house? This doesn’t have to be just a distant dream. It’s easier now than it has been in recent years to arrange a mortgage to help buy the land and fund the building of your ideal home.
Our lending partners can now lend up to 85% of the land price and up to 85% of the build cost. Funds to build the house are lent in stages on an interest-only basis to help maximise your cashflow. This means that you pay the minimum amount of interest each month.
As you’d expect, the maximum mortgage is calculated on your ability to meet the monthly mortgage payments. This means that the lender will perform a calculation using your income and any monthly credit commitments, including an existing mortgage if you own a house already.
You do not need any previous experience, as in most cases you will employ tradesmen to carry out most of the work. You should obtain quotes from professional house builders, unless you plan to project manage the build yourself and contract individual trades. The big benefits of a self build are that you can specify your own design at the start and you reap the benefit of the added value at the end.
For further details, please call us now on 0117 223 2050 and speak to an expert.
Example of Self Build Site Insurance (Build Zone)
Summary of cover Type Sum insured – limit of indemnity Standard cover Building Work, Temporary Work & Materials Up to 125% of reinstatement cost Employers Liability Insurance £10,000,000
Public Liability Insurance £5,000,000
Legal Expenses £50,000
Contract Works Insurance Tailored to individual needs
Owners and Hired Plant & Tools £50,000
Employees Plant & Tools £2,000 (£500 per employee)
Site Huts, Caravans & Temporary Buildings £50,000)
Personal Possessions £5,000
Personal Accident & Broken Bones £20,000
Structural Warranty (Build Zone) Most mortgage lenders will want to see a structural warranty for the new house and not just architect’s certificate, as this only confirms that the property has been built to meet the required minimum standards. It is widely thought by self builders that an architect’s certificate provides protection against structural defects and other major problems – this is not so. If a structural fault arises due to the architect’s negligence, then it falls to the homeowner to take legal action and prove blame. This would be a long and expensive process. A Structural Warranty is therefore invaluable.