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New Build Mortgages

Are you considering purchasing a newly constructed home? Our mission is to empower you with the information you need to make informed decisions regarding new build mortgages.

From understanding the benefits of purchasing a newly constructed property, such as modern amenities and energy efficiency, to navigating the specific requirements and financing options available, we are committed to being your go-to resource.

Discover the possibilities that new build mortgages offer as we equip you with the tools to confidently explore and evaluate the best mortgage solution for your dream home.

What is a new build property?

A new build property refers to a residential property that has recently been constructed or is currently being built. These homes are brand new and have not been previously occupied, providing buyers with the opportunity to be the first occupants. New build properties can vary from individual houses to apartments within larger developments.

Benefits of new build homes

1. Modern Features and Amenities

New build homes are designed with contemporary lifestyles in mind, offering modern features, energy-efficient technologies, and high-quality fixtures and fittings.

2. Warranty and Guarantees

Buyers of new build homes typically benefit from warranties and guarantees provided by the builder. These cover structural defects and certain appliances, ensuring peace of mind for homeowners.

3. Customization Options

Many developers offer customization options for new build homes, allowing buyers to select finishes, fittings, and make layout alterations to personalize their living space.

4. Energy Efficiency

New build homes are constructed to meet or exceed current building regulations for energy efficiency, resulting in lower energy bills and a reduced environmental impact as well as lenders now offering lower interest rates on their Green product range.

5. Help-to-Buy and Government Schemes

The UK government offers various schemes, such as Shared Ownership, to assist buyers in purchasing new build homes. These schemes provide financial support or favorable mortgage terms, making new builds more accessible.

What are the key benefits of getting a new build mortgage?

Getting a new build mortgage offers several key benefits:

1. Favorable Interest Rates

Lenders often offer competitive interest rates for new build mortgages, making them an attractive option for buyers.

2. Incentives from Developers

Developers may offer incentives to buyers of new build homes, such as contributions toward legal fees, stamp duty, or upgrades to fixtures and fittings. These incentives can provide additional financial advantages.

3. Customization Opportunities

Purchasing a new build home allows buyers the opportunity to customize certain aspects, such as finishes and fittings, to suit their preferences and create their ideal living space.

What are the eligibility requirements for obtaining a new build mortgage?

Eligibility requirements for new build mortgages can vary among lenders, but generally, they consider factors such as:

1. Income and Affordability

Lenders assess a borrower’s income to ensure they can afford the mortgage repayments and meet affordability criteria.

2. Deposit

Buyers are typically required to provide a deposit toward the purchase price of the new build property. The specific amount will depend on the lender and the buyer’s financial circumstances.

3. Credit History

Lenders evaluate the borrower’s credit history to assess their creditworthiness and determine the level of risk involved.

If you would like to find out more about new build mortgages, and how we can help, contact us here or call 03454 500200. You can also read our FAQs section below.

Frequently asked questions

What are drawbacks of New Build Homes

How Does the Loan-to-Value (LTV) Ratio Affect New Build Mortgages?

Are There Any Specific Government Schemes or Incentives Available for New Build Mortgages?

What Documentation is Typically Required When Applying for a New Build Mortgage?

Are There Any Specific Government Schemes or Incentives Available for New Build Mortgages?

What Factors Should I Consider When Choosing a Lender for a New Build Mortgage?

What’s different about a first-time buyer mortgage?

What are the typical interest rates for New Build Mortgages?

Can I Use a New Build Mortgage for Self-Build Projects or Custom-Built Homes?

Are There Any Potential Downsides or Risks Associated with New Build Mortgages?

How Does the Valuation Process Work for New Build Properties During the Mortgage Application?

Are There Any Specific Restrictions or Conditions When It Comes to Choosing a New Build Property for a Mortgage?

Can I Use a New Build Mortgage to Purchase a Property That Is Still Under Construction?

What Happens if There Are Delays in the Completion of a New Build Property with a Mortgage Application in Progress?

Are There Any Additional Costs or Fees Associated with New Build Mortgages That I Should Be Aware Of?

How Long Does the Application and Approval Process Typically Take for New Build Mortgages?

Can I use a new build mortgage for buy-to-let properties or investment purposes?

What happens if I want to make changes or modifications to a new build property after purchasing it with a mortgage?

Are There Any Specific Warranties or Guarantees That Come with New Build Properties and Mortgages?

How much deposit do I need?

How do I find the right mortgage?

Because we play by the book we want to tell you that…

Your home may be repossessed if you do not keep up repayments on your mortgage.
There may be a fee for mortgage advice. The actual amount you pay will depend upon your circumstances.
The fee is up to 1% but a typical fee is 0.3% of the amount borrowed.

Speak to our experts

With access to 1000s mortgages from over 90 high street lenders, we can help you find the right mortgage. Our five-star Google reviews back this up. Call us now and speak to a member of our experienced team.

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