Self build mortgages: Everything you need to know

house under construction
(Image credit: Getty Images)

Self build mortgages are quite different to to traditional mortgages, releasing funds in stages in order to provide the cashflow needed for building a new home, paying for materials and paying your contractors. 

This makes a self build possible even for those who can't afford to finance the entire build from savings. That said, there are some limitations that come with this type of mortgage. They're less widely available, which means they may be less competitive, and depending on the type of self build mortgage you choose, the rates are typically higher than a 'standard' mortgage.

Swipe to scroll horizontally
Moneyfacts Self Build Mortgage Rates
LenderContactMax LTVAPRCInitial Payment
Beverley BS01482 88151080%7.8%£1,124.12
Hanley Economic BS01782 255 00060%7.5%£1,136
Penrith BS01768 86367575%7.8%£1,145.77
Melton BS01664 41414175%8.2%£1,145.77
Saffron BS0800 072 110075%7.8%£1,145.77
Suffolk BS0330 123 077350%8.4%£1,698
Ecology BS01535 65077080%6.5%£1,178.62
Michael Holmes

Michael is Homebuilding & Renovating's Director of Content, Vice Chair of the self build industry body, the National Custom and Self Build Association (NaCSBA), presenter of multiple property TV shows and author of Renovating for Profit (Ebury). He also runs an architectural and interior design practice, offering design and project management services. He is one of the country's leading property experts and has undertaken over 30 building projects including two self-builds and the renovation of a Grade-II listed farmhouse. 

Michael has presented over 150 property shows for BBC, ITV1, Channel 5, UK TV Style, and Discovery RealTime, including I Own Britain's Best Home; Don't Move Improve; Trading Up; Good Bid, Good Buy; Build, Buy or Restore?; How to Build A House; and Hard Sell.

Michael is also a regular expert at the Homebuilding & Renovating Shows. He has written for leading British newspapers, including The Daily Telegraph, Sunday Times, Daily Express and The Independent and has appeared on news programmes such as BBC Breakfast.