A new Self Build mortgage product has been launched by Hinckley & Rugby Building Society (HRBS), available through BuildLoan to mortgage intermediaries with self-build clients. The partnership capitalises on HRBS’s six years of self-build lending, extending their offering to a range of intermediaries and their clients.
It is a two-year discount product that charges an initial 4.99% interest, representing a higher loan-to-value (LTV) mortgage from HRBS, with monies advanced in five stages. HRBS will lend up to 85% of the land’s value and then up to 85% of the cost of the build, with a maximum LTV for the completed home of 75%.
Carolyn Thornley-Yates, Head of Sales and Marketing at Hinckley & Rugby, said: “Partnering with BuildLoan will enable us to better serve the intermediaries advising the growing number of self-builders, many of whom need higher LTV borrowing to create the home they desire.”
“They can borrow up to £500,000, we’ll pay the cost of an additional security fee and we will apply our manual underwriting to carefully assess each application, working with intermediaries to fully understand all aspects of the case.”
Raymond Connor, BuildLoan Chief Executive Officer, adds: “I am delighted that Hinckley & Rugby Building Society has joined our lender panel with the launch of a new mortgage product for self-build. Notwithstanding the current political unrest, the Self and Custom Build sector is growing and we believe 2020 will see unprecedented demand.”