I have a site in my name and want to build a house?

Question

I have a site in my name and want to build a house,i might have previous bat credit history going back 4-5 years ago for a sum of around 6k euro my site with planning is worth around 130k im looking foe a mortage of around 200k do you think i will have much problems?will the site stand in my favour

Answer 1

Don't get a conventional mortgage. I don't think you can anyway without a standing structure, look into long term construction loans, that way the bank knows what is happening, and will probably give you a slightly lower interest rate.

Answer 2

I suggest you create plans and get detailed planning permission first.

Then apply for a Self Build Mortgage - initially using the land as security they should be willing to make £200k available to be released in stage payments .. perhaps 50k up front and then additional payments as foundations are completed, roof goes on, fitting out completes etc. (you will, of course, have to agree a 'matching' payment schedule with your builders )

There are dozens of Self Build sites on the web that will offer free advise .. go read up (heres a few links to get you going)

Answer 3

No in short, the site is worth £130 you say(if you sell with pp) Self build funds are normally released as the work progresses, not up front. It must be substantial site if you already own it and need 200k build cost!