Furness Building Society has launched a range of self-construction mortgages.
The new range is available exclusively through Buildloan, offering products that offer mortgages of up to £2 million.
The self-built solution includes three payments due and three advance payments for the product, with loans ranging from £50,000 to £2 million.
The discount variable rate lasts for two years, starting at 5.64%, with a maximum loan price (LTV) of 80%.
Furness Building Society also increased the loan-income ratio of new larger loan products by 5 to 5.5 times, borrowers’ annual income.
All products within this range are available for purchase and cash in England, Scotland and Wales, and are offered with an arrangement fee of £1,500.
“Our new self-built products, available through Buildloan, provide our broker partners and clients with more options to build, renovate or convert their own homes, including borrowing more projects to make the project possible,” said Jon Cartlidge, member and head of broker strategy at Furness Building Society.
“With our flexible, human-led lending approach, we are also able to increase loan-to-income for larger loan products. Since underwriters manually evaluate each application, we can consider clients with more complex revenue streams.”
Chris Martin, head of product development at Buildloan, added: “We have designed these large loan products with the Furness Building Society, giving brokers more choices of self-building clients who want to build their professional homes while still benefiting from the packaging of the GST – available through Buildloan only.”
“A higher income loan combined with a wise affordability review can allow more home builders and renovators to use a greater level of borrowing.”
In July, Furness Building Society announced it had cut selected fixed-rate mortgages within its residential and landlord range.
