Mortgage on a new build
Discussion
Was a nightmare when I was going to buy a new build a few weeks ago. As the house was a new build I could only find 85% LTV mortgages.
Banks don't value new builds as high as the developers. Usually because they are well over price!
There is a government scheme called "New Buy" and that lets you put 5% down, but the housing developer has to put money in and it gives you less leverage to haggle them down on the asking price. I decided to get a bigger (used) house and save £40K.
Banks don't value new builds as high as the developers. Usually because they are well over price!
There is a government scheme called "New Buy" and that lets you put 5% down, but the housing developer has to put money in and it gives you less leverage to haggle them down on the asking price. I decided to get a bigger (used) house and save £40K.
"Was a nightmare when I was going to buy a new build a few weeks ago. As the house was a new build I could only find 85% LTV mortgages."
A good Broker who knows the new build market would have been able to get you a 90% LTV mortgage on a new property without using the government scheme, I have done two this week at that LTV.
A good Broker who knows the new build market would have been able to get you a 90% LTV mortgage on a new property without using the government scheme, I have done two this week at that LTV.
Buildstore seem to be leading brokers in this area
What you may find is that specialist lenders for new builds try and lock you into higher than standard rates even after the build is completed.
Ideally in my opinion look for short term finance during the build with the exit being a mortgage. However with 90% LTV with due respect doesn't give a lender confidence that contingencies can be covered
What you may find is that specialist lenders for new builds try and lock you into higher than standard rates even after the build is completed.
Ideally in my opinion look for short term finance during the build with the exit being a mortgage. However with 90% LTV with due respect doesn't give a lender confidence that contingencies can be covered
s2t said:
Buildstore seem to be leading brokers in this area
What you may find is that specialist lenders for new builds try and lock you into higher than standard rates even after the build is completed.
Ideally in my opinion look for short term finance during the build with the exit being a mortgage. However with 90% LTV with due respect doesn't give a lender confidence that contingencies can be covered
I think you're confusing self build with new build......What you may find is that specialist lenders for new builds try and lock you into higher than standard rates even after the build is completed.
Ideally in my opinion look for short term finance during the build with the exit being a mortgage. However with 90% LTV with due respect doesn't give a lender confidence that contingencies can be covered
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