STAFFORD RAILWAY BUILDING SOCIETY WILL DISTRIBUTE ITS SELF BUILD MORTGAGE PRODUCTS EXCLUSIVELY THROUGH BUILDSTORE & INTERMEDIARY SERVICE BUILDLOAN
Stafford Railway Building Society has announced its new partnership with self-build specialist BuildStore Mortgage Services, to distribute the Society’s self-build mortgage products.
BuildStore and its intermediary wing, BuildLoan, will distribute the Society’s three-year self build mortgage at a Standard Variable Rate (SVR) presently at 2.95 per cent plus 1.30 per cent, leaving the product available currently at 4.25 per cent plus applicable fees.
The product will be available on the purchase of land and build of a new property, renovation of an existing property, or the conversion of an existing structure for residential purposes. During the build, the mortgage can be available as interest only. On receipt of the completion certificate, the mortgage reverts to a capital repayment basis currently 2.95 percent SVR.
The Society will lend on maximum of £500,000 at 85 per cent loan to value (LTV) to purchase land or property and up to 85 per cent of the cost of each stage during the build, subject to valuation.
Funds will be released on an arrears stage payment basis and the final mortgage value must be no more than 75 per cent LTV.
Emma Parker, Business Development Manager at Stafford Railway Building Society commented: “We are really looking forward to working with BuildStore. The company has a proven track record in helping clients realise their dreams of building their own home and we are sure that our product will complement this”
BuildStore’s Chief Executive, Raymond Connor, said: “The Government’s continued support of the self build market means that demand for tailored finance is continually on the rise, and prospective self builders are increasingly turning to specialists to secure the right type of funding for their bespoke home projects. Our partnership with Stafford Railway Building Society will enable more self builders to access the tailored funding solutions required for a successful project, and demonstrates the growing commitment of lenders to the self build housing sector.”
The product will not be available directly though the Society. For more information customers can call BuildStore directly on 0345 223 4888. Intermediaries can contact BuildLoan on 0345 223 4447.
Representative Example (BuildLoan Generated Representative Example)
A mortgage of £100,000 payable over 25 years initially on a discounted variable rate of 4.25% for 3 years and then the Society’s Standard variable rate (SVR) currently 2.95% (variable) for the remaining 22 years would require 36 monthly payments of £541.74 followed by 264 monthly payments of £478.31.
The total amount payable would be £148,601.48 made up of the loan amount plus interest (£48,601.48), a valuation fee of £505 and a funds transfer fee of £25
The overall cost for comparison is 3.41% APRC representative
BuildStore Mortgage Services is an appointed representative of Mortgage Advice Bureau Limited and Mortgage Advice Bureau (Derby) Limited which are authorised and regulated by the Financial Conduct Authority. BuildStore Mortgage Services Limited. Registered Office: 8 Houstoun Interchange Business Park, Livingston, EH54 5DW. Registered in Scotland Number: SC448916
The Stafford Railway Building Society is authorised by the Prudential Regulation Authority and regulated by the Financial Conduct Authority and the prudential Authority (registered no 206063)
Your Mortgage Is Secured On Your Home, Which May Be Repossessed if You Do Not Keep Up The Mortgage Repayments. Think Carefully Before Securing Other Debts Against Your Home.