If you found the perfect plot tomorrow, would you be ready?
Finding the right plot to build your home is an important and exciting step in your self build journey. If you need help funding your new home, it’s a good idea to do some preparation ahead of that search, arming yourself with a clear understanding of your overall budget and borrowing options.
Organising your funding may not be the most exciting thing to think about when building your own home, but it’s undoubtedly one of the most important. Setting a clear budget for your self build should be one of the first things you do.
Your budget is made up of how much money you have already and how much you can borrow. The total figure should be the very maximum you spend on your new home. How much you can borrow depends on your individual financial circumstances. As with any mortgage, lenders look at your income and outgoings, to calculate how much they are willing to lend.
The amount you set aside for your plot is likely to be the largest single purchase that you’ll make (typically around 40% of your overall budget), so knowing how much you can realistically afford to spend, means you can narrow down your search to suit and not waste any time.
Our Pre Build Finance Review will give you a head start when it comes to planning your self build, providing you with an early indication of your budget, borrowing options and how much a lender will lend to you – all of which you should know before looking for a plot.
FINDING YOUR PERFECT PLOT
Once you’ve established your budget and how much you can spend on your plot, you can start looking for the one that’s right for you. Here are some of our plot finding top tips to get you started!
- Narrow your search down to your chosen area and price range
- Sign up to free land finding websites, like PlotSearch
- Check your local auction houses and estate agents
- Check your local planning portal for recent applications
- Explore your chosen area yourself
- Join The Right to Build Register
- Visit Custom Build Homes to check if there are any sites in your area
Our specialist mortgage advisers can assess your current finances to make sure you’re in the best position to move quickly when you find a plot, and discuss your preferred design, build system and materials for your new home, to make sure it is affordable and mortgageable. Our Build Cost Calculators can also be a useful tool when it comes to estimating your building costs.
To arrange a Pre Build Finance Review call our experts on 0345 223 4888 or click here.