Self-build home: Raise finance
- Sell an existing property and use any remaining equity after paying back loans. Allowance may need to be made for financing temporary accommodation during the period between sale completion and occupation of the self-build home.
- Raise funds using equity in an existing property as collateral.
- Use capital or liquidate other assets.
- Obtain a mortgage loan. There are a number of companies offering self-build mortgages, typically on the basis of 75% against land value and 60% against building value, releasing funds in the form of stage payments. It is advisable to seek a range of quotes and to pay particular attention to charges for inspection of the work to release progress payments and re-valuations. These charges can vary significantly.
- Apply to schemes such as the Government Custom Build Investment Fund for a loan. This is only available for community schemes with a minimum of five dwellings and a maximum cost of £3m.
NB Self-build homes and the conversion of non-residential buildings into dwellings may qualify to reclaim the VAT paid on eligible building materials and services. See VAT refunds on self-build homes for more information.
Featured articles and news
Eleven Magazine announce the winner and runners-up in their Moontopia competition.
As January is the time for hitting the gym, Designing Buildings Wiki lists the best gym architecture in the world.
London is at the top of the list of global construction megacities, beating Dubai and Abu Dhabi.
What are the innovative business models of the future, and how to incentivise supply chains to work on a whole life basis?
One of the largest churches in the world, the monumental St. Peter's Basilica.
How thermal comfort is quantified and how it can affect wellbeing.
Snøhetta complete a treehouse cabin that allows guests to lie beneath the Northern Lights.
Christiania is an anarchist 'freetown' in Copenhagen where strange and experimental architecture has flourished.
“UK waste data needs improving” say BRE specialists, in this summary of their report into construction waste.
UandI announce new joint venture with US developer to work on office refurbishment projects.
Why buildings crack, how cracks are categorised and what can be done.
Inaugurated last week, the new Elbphilharmonie concert venue; a soaring new addition to Hamburg's skyline.