Self Build Mortgage Question

I wondering if anyone maybe able to help with my question.

I am considering a site for sale as grazing lands and currently into whether or not its possible to get planning on it. the current owner just wants rid of the land quick.

If planning is possible, then myself and the other half would like to buy the site and build.

Is it possible to borrow the deposit required from a bank and then apply for a self build mortgage say with the EBS for the other 90% of the land and then 100% of the build.

Site 100k
Stamp Duty 6% 6k
Total 106K

Borrow 11k

Is that what some people?

Thanks for any suggestions

I would imagine 80% of purchase price of site is the max you can get and even that is not done by all lenders. However, if you are buying it without outline planning then it is not a site, its a field and would be hard to get mortgage on. Other alternative is to pay deposit and make balance subject to planning then once the planning is issued you can apply for the loan, if vendor is agreeable. Usually possible then to get 100% of building cost assuming total cost is less than 90% of proposed value of completed property.

With full planning, EBS will lend you 95% of the site costs and 100% of the build.

Thanks

John

MortgageMate said:

With full planning, EBS will lend you 95% of the site costs and 100% of the build.

Thanks

John

Click to expand...

Just looking at grazing land at the moment with the hope of getting planning permission. Still waiting to hear back from the planning department.

Have EBS increased the funding for the site as I thought it was 90%.