BuildLoan and Buckinghamshire launch two self-build products | Mortgage Strategy

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BuildLoan has launched two new self-build products with Buckinghamshire Building Society.

The self and custom build distributor says the products offer guaranteed stage payments, based on the cost of each stage of work, rather than the level of available funds being dependent on a lender’s valuation during the build.

It adds that this feature removes the risk of available funds being reduced unexpectedly due to a down-valuation, which can cause customers severe cashflow issues and potentially bring a project to a standstill if contractors cannot be paid on time, or materials cannot be bought when needed.

Both deals initially carry a two-year rate linked to the standard variable rate, with the first having no product fee and an initial pay rate of 5.50%.

The second loan has a completion fee of £1,499 with an initial pay rate of 4.45%. Both mortgages do not carry early repayment charges.

BuildLoan says enquiries can be submitted through its Unicus online platform, which launched in August, with the hub also providing a range of information about the process for brokers.

BuildLoan head of product development and underwriting Chris Martin says: “These products tick many boxes for self-builders, with guaranteed stage payments available up-front to ensure that clients get their money when they need it during the build.

“The low fee structure is highly attractive and having no early repayment charges provides a lot of flexibility when the build has been completed.

Buckinghamshire Building Society head of mortgage sales Claire Askham adds: “Self and custom build is an important market for us and we have worked hard with BuildLoan to develop these products with features that self-builders really need.

“The peace of mind of having pre-agreed up-front stage payments gives clients huge reassurance and confidence that they can finance their build successfully.”

The self-build mortgage partnership between BuildLoan and Buckinghamshire Building Society dates back to 2015.


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