Saffron for Intermediaries has slashed its self-build mortgage rate by 1% and its fee from 2% to 1% in what it called a ‘spring sale’.
Self-builders can now borrow from 4.59% variable on an interest-only or repayment basis for up to two years.
Anita Arch, head of mortgage sales at Saffron, said: “Spring is traditionally the time when self-build projects get underway and we therefore thought a mortgage sale would be a welcome offer!”
“I have no doubt this will prove to be popular with anyone thinking about building their dream home or converting or refurbishing an existing structure.
“Once the build has been completed, borrowers can apply to switch to any of our other residential mortgage products available at the time.”
Saffron’s self-build mortgages are designed for situations including the purchase of land, barn conversations as well as knock-down and rebuild projects.
The lender will cover the full cost of the work subject to a maximum 75% of the gross development value, while payments will be released in stages to be tailored to individual projects.
Self-build mortgages are available from £30,000 up to £500,000, but applications of up to £1m will be considered and are all individually assessed.