Getting a Mortgage to Build your Own Property

The way to fund a self build project for many people is to go out and get a self build mortgage. These are a little different to a mortgage that you would take out to buy a house that is already built as they can vary depending on the project that you are doing, and they are not paid out in one lump sum, instead they are paid in stages.

Some of the stages that they are paid out in include the purchasing of the land, the foundations and the stage when the roof is put on and the interior is weatherproof. The reason that it is paid out in this way is because building a home comes with a lot of things that can go wrong, and this reduces the risk to the lender.

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Before you go and apply for a mortgage to build your own home, you will need to look into what things cost – from the builders to the designers, it is important that you have included everything. Get quotes from places like this timber frame manufacturers so that you are aware of the cost of the project and then you will know realistically what you will need.

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When you are doing a self build project, anyone who has watched Grand Designs will know that it is often the case that it goes over the budget. It is a wise idea to have some money set aside in case of this happening.

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