Building A House

[andydingdangdoo]

Hi,

I have a large area in my back garden and have recently gained planning permission to build a house on it. I am now at the stage where i need to work out how to finance it. Other than owning the land that the house will sit on I have zero money to finance it so I would be looking to find a company that will lend me the build costs so I could then mortgage the property as a buy to let.

Other than googling I have no real idea of where to start. Does anyone have any experience of this?

Andy

[barry1010]

Can you mortgage the house you are living in?

[Mamyalynne]

Investigate carefully the ins and outs of a self build mortgage.

https://www.moneysupermarket.com/mortgages/self-build/

[The Builder]

I have quite a bit of experience with this, Andy.
I don't know if it's likely to be of any help though. I do it for a living. Just one-offs like yours. I just go straight to my Bank Manager. I think having a business registered with HMRC and a track-record makes it a lot easier.
For you: if you have a good relationship with your bank, preferably having borrowed (and paid back) before, start there.
Also, maybe a mortgage broker, preferably someone local who you can talk to.
Mamya's link to self-build finance is a definite route for you too. That's the way that people who are not "in the trade" often go.

Remember that, with this kind of finance, there is always someone who will lend, BUT the rates may be dreadful, and the terms onerous.
As always, try and find others who may have done this. There are very helpful self-build magazines.
It can be laborious, but do your homework.

[andydingdangdoo]

Thanks all for your help, I think I am going to see an independent financial advisor and see if as Barry1010 says I can use the equity in my house to build the new house. Fingers Crossed.