The new three-year discount products are now available
Hinckley & Rugby for Intermediaries, in partnership with BuildLoan, has announced the launch of new custom-build mortgage products to enhance its current self-build proposition.
Available from today (October 20), the new three-year discount products, starting at 4.74%, will be offered for custom-builds exclusively through BuildLoan, which specialises in self-build, custom-build, renovation, conversion, and home improvement.
Like self-build, Hinckley & Rugby will offer custom-build products with both advance and arrears stage payments, on an interest-only basis for the first two years of the loan, and offer borrowing of up to £750,000, up to 90% loan to cost, and 80% loan-to-value of the finished build. Other benefits include acceptance of modern methods of construction, and no standard requirement for interim valuations during the build.
Read more: BuildLoan expands exclusive self- and custom-build product range.
“For those borrowers wary of the complexities of a pure self-build, custom-build allows for the creation of a bespoke home but with the assurance that the developer will lead on the complexities of the build,” Evan Crosskey (pictured), senior mortgage sales and distribution manager at Hinckley & Rugby, said.
“Hinckley & Rugby recognise the need to continue diversifying the UK housing market, so we are proud to be able to offer borrowers a wider choice of self- and custom-build options in partnership with BuildLoan.”
Chris Martin, head of product development and lender relationships at BuildLoan, added that the products they have designed with Hinckley & Rugby mean that potential custom-builders only need to provide 10% of their land and build costs, with the majority of planning and design costs often included in the custom build price.
“Commissioning the construction of their own home becomes a realistic option for many people who otherwise wouldn’t have the time or personal funds to self-build,” Martin said. “There are no interim valuations as the stage releases through the build are linked directly to the cost of each part of the work, so the client knows the funds will be available at the right time to pay their developer, taking a huge amount of risk out of the process.”
