With the housing stock still not large enough to meet demand in the UK, housing development sites will be a feature of the landscape for some time to come.
Due to the surge in demand for new homes, it’s important you are in the most proceedable and qualified position when looking to reserve one yourself as competition for the property you have earmarked may be intense.
Home Group Advisors have years of experience in managing new build mortgages and are able to support and most importantly, understand the timescales and turnaround times developers require for reservation and exchange of contracts.
Working with New Build Developers
Reservation Financial Qualification
In order to reserve a plot, housing developers will require you to have a completed financial qualification, via a Qualified Mortgage Advisor. This is to ensure the plot you are reserving is affordable and you have the level of deposit required.
Home Group Advisors will then ensure you have a decision in principle, verify deposit information for the developer and complete all the necessary affordability checks and any other paperwork involved in the application process.
Housing Developers 28-30 day exchange
Most housing builders have a 28 or 30-day exchange target from the point of reservation, to ensure the plot is reserved and not sold to another buyer. This is especially true for first-time buyers and in cases where there is no chain.
Longer periods between exchange and completion are therefore not unusual, which can add more anxiety to an already stressful time in your life because mortgage offers only have a limited shelf life.
However, we can take some of that time pressure away by working with mortgage lenders to ensure that your mortgage offer is long enough to align with your designated completion date, or in the event of a delay in completion, the mortgage offer is extendable.
Relationships with Housing Developer
From initial financial qualification to completion, we will work with and update your housing developer on the progress of the mortgage application. We are experienced in managing expectations of timelines and understanding the ‘need for speed’ when working with new build mortgages.
Our First Time Buyer Stamp Duty Calculator helps to show you the Stamp Duty costs associated with a new or first-time buyer.
| YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE. |