Trevor Griffin is our Self-Build Specialist at Mortgage Advice Bureau and gives a guide for what to look out for below.
2021 saw the largest increase in house prices since 2007 that, coupled with the government help to build scheme, means that even more people are looking to self-build. Approximately 12,000 people in the UK build their own homes every year.
For some, self-building means that they can invest their own time and effort in to building their dream home, saving themselves money. For others, it’s a way of ensuring that they can build the home of their dreams.
Here at Mortgage Advice Bureau, we provide specialist advice for self-build mortgages, helping you to obtain the right mortgage for your project.
When it comes to self-build mortgages and self-building, planning is key (in more ways that one).
Self-building can be broken down into the following basic steps:
- Finding and buying your plot
- Planning, costings, financing and laying of foundations
- Construction to wall plate level
- Building made watertight
- First fix and plastering
- Second fix through to completion
When you are thinking about self-building then it's important to consider your cash flow because self-build mortgages will release funds in stages after completion of each key stage of your build. Also, it’s important to factor in the cost of your mortgage or rent while you are still building and the interest only payments for each stage of your self-build mortgage. Finally, it is also important to ensure you build in a 10-15% contingency and that builders are contracted on a joint contract’s tribunal.
Whatever stage you’re at in your self-build journey, contact Mortgage Advice Bureau to talk to our specialist mortgage adviser today.
Telephone our office: 01603 40 50 70
or Trevor directly on 07769 892018
Email: [email protected]