2 year discount 85% loan to value

Product availability

This product is available via BuildStore. We will not provide advice on this product.

Who's the product for?

Our range of self and custom build mortgage products have been designed to help borrowers who dream to build their own home.

Mortgage amounts

The minimum mortgage amount is £50,000 and the maximum mortgage amount is £600,000.

The minimum property value upon completion of the build is £75,000 increasing to £250,000 for properties located within the M25 corridor.

The maximum loan to value is 85% during the build phase.

Mortgage repayment terms

The minimum repayment term is 5 years and the maximum repayment term is 35 years.

You will only qualify for this product for 2 years from inception, by which time the build should be completed and you can apply for any suitable product from our standard mortgage range.

Interest rate floor

The interest rate is floored which means that the rate on your mortgage cannot drop below 4.74%.

Early Repayment Charges

You can repay up to 10% of the original mortgage amount each year without being charged. Payments that exceed 10% will be subject to an Early Repayment Charge.

Additionally, if you redeem your mortgage or switch to another product during the discount rate product term then an Early Repayment Charge will apply.

The Early Repayment Charge will be calculated as follows:

• 2% of the amount repaid for the first year; and
• 1% of the amount repaid for the second year.

Mortgage tariff of charges

The fees and charges that can apply during the term of your mortgage are detailed on our mortgage tariff of charges download.

Representative example

A mortgage of £145,500 payable over 16 years and 6 months initially on a discounted variable rate for 2 years from inception, currently 4.74% (equal to a 0.5% discount from our SVR) and then our SVR, currently 5.24% for the remaining term would require an initial payment of £1,106.09 followed by 22 monthly payments of £1,087.04 and 169 monthly payments of £1,121.52.

The total amount payable would be £216,182.85 made up of the mortgage amount plus interest (£69,057.85) with mortgage valuation fees of £325, legal fees of £150, Build Out Insurance cover of £1,000, telegraphic transfer fees of £25 and mortgage exit fees of £125.

The overall cost for comparison is 5.4% APRC representative.