self build half way - mortgage advice needed

[Galwaygirl]

Hi
We are currently mid way through a self build project which has to date been financed by two SSIAs and the proceeds of previous PPR. Our funds will get us to the roof on and plastered stage of the build.

Husband has designed house, is supervising works and also doing estimates for costings.
The loan needed is <200k, the plan is to draw down what we require to finish & landscape and then look at remortgaging. Neither of us are keen on fixing now so were thinking about a tracker rate.
As far as I know we have all the supporting documentation ready for the financial side of it - P60s, 3 months bank and payslips.

I called one bank and one broker and am now completely at a loss.
The bank were talking about estimates for stages and drawing down in stages- from what I know we are already past most of the stages and apart from tarmac and landscaping our needs are pretty much all together - ie insulation (pumped cavity), electrician, plumber, floors, geothermal, solar etc. And there won't be much of a gap between those and the kitchen/painting/bathroom fixtures.
The broker was a bit more informative but was pointing towards Ulster Bank and from the posts I have read here they aren't the best for fast funds!
Both seemed to be comfortable with Husband signing off the estimates as he has been the supervising engineer.
Has anyone out there been in a similar situation that can advise what exactly we need to do and what the typical costs are (legal, broker commission etc) and also the typical timescales to arrange and draw funds. The site deeds are still with the solicitor who handled the purchase. I will be really grateful fo any advice or recommendations.

 

[Munsterdude]

Hi Galway Girl,
You are in a pretty good position - site purchased and house to roof level with no debt. Well done! Many banks can fund the balance for you. I assume your husband is an engineer? with professional indemnity insurance? if so, all your husband has to do is to confirm to the bank the cost of work completed to date, and confirm costs to complete.
I would agree with your view of ulster bank. They have reasonably good rates, but tend to be a bit sticky with cheque issue. I would be thinking more about IIB, Bank of Ireland, PTSB, etc who's customer service in my experience is better. As you say, you can look at rates and best value on completion of the property. Many banks now offer free switchers at very good interest rates. In terms of costs I generally advise customers to allow c€2,500 for legals. you will need mortgage protection insurance (see links for best value) and the mortgage broker (if you choose to go that rouote) gets paid by the bank (generally 1%)
As a general rule a decent broker can arrange approval in about 5 working days or better (if you have all documents to hand) and then its over to your solicitor to do the legal work and requistion funds from the bank. In my experience, from the time you sign up with your solicitor, to the time he/she recieves the cheque from the bank, on average takes 2ish weeks. (average - fair degree of variation also)
Does this help?

 

[Galwaygirl]

Thanks for your response Munsterdude - you have cleared some of the confusion. I have contacted PTSB wjho we bank with anyway, they have quoted a 1 year discount tracker rate of 4.6%. Just have to work out our estimates now - we are planning to overestimate (ie assume the very best of all materiels). The response was very helpful.

 

[kadumph]

Hi Galwaygirl,
Hope it is eyre square branch, recently got mortgage through their manager who was very helpful,took about 3 weeks .Ask them for a list of everything required, get them back asap and ask them to fastrack it.
Good Luck

 

[Galwaygirl]

We do bank with Eyre Sq, but the mortgage application was done by phone so am dealing with their mortgage centre. I know what you mean about the Eyre Sq manager, we have had dealings with him in the past and he is very good.