A new build mortgage is a type of loan specifically designed for individuals or families who wish to purchase a newly constructed property. These mortgages are tailored to accommodate the unique requirements associated with buying a brand-new home, including the stages of construction and completion.
New build mortgages are generally available for most types of properties, including houses, apartments, and flats.
New build mortgage funds are typically released in stages as the construction progresses. They also often come with specific terms and conditions that address the potential delays in completion or any unexpected issues that may arise during the construction phase.
As an independent advisor, Deedle has the advantage of working with multiple new build mortgage providers, ensuring impartial advice and access to a diverse range of mortgage products. This enables us to carefully consider your individual requirements and financial situation and match you with the best lender for your needs.
With our team of experts, Deedle is committed to providing personalised advice and guidance throughout the mortgage process, ensuring a smooth and well-informed experience for you.
You can get a new build mortgage to purchase a property anywhere in the UK. Deedle can help you no matter where you’re located. For example, we help people get new build mortgages in:
Yes, you can use a Lifetime ISA (LISA) to help with a new build mortgage. LISAs are designed to help first-time buyers save for a deposit and benefit from government bonuses.
A LISA is a saving scheme in which the government will add a 25% bonus to your savings, up to a maximum of £1,000 per year.
The savings and bonus can be used towards the deposit for a new build property, provided the property’s value does not exceed the specified limit for the LISA.
Yes but getting a new build mortgage with a bad credit history can be challenging. Lenders typically look at your creditworthiness and consider the risk associated with lending to borrowers with a history of poor credit.
Some specialist lenders may consider applicants with adverse credit. They might have stricter terms or offer harsher interest rates unless you save for a bigger deposit or apply with a guarantor.
Deedle will not discriminate based on your credit history. You can apply with us no matter what your credit score is.
The stage payment process in a new build mortgage involves the lender releasing funds to the borrower or developer at various stages of construction.
The number of stages and the percentage of funds released at each stage will vary depending on the lender but typical stages include:
Yes, you often can! You should consult with the developer and your mortgage lender before making any modifications, but you can usually customise some aspects of your home before it is finished.
To find out if this is possible, review the terms and conditions of your mortgage agreement and consult with your lender. Most new build mortgages will have special restrictions on renting. You should also consider looking at buy-to-let mortgages.
Switching to a new lender or refinancing your new build mortgage is possible, and is often referred to as remortgaging.
No, not usually. New build mortgages tend to be tied to the specific property you took them out for.
Yes but there can be some fees or penalties involved so check the terms and conditions before making this decision.
Yes you usually can. Many lenders accept gifted funds as a deposit source, but they will want to ensure that the funds are a genuine gift and not a loan that would need to be repaid. Make sure you have good documentation of the gift.
