The Dudley unveils self build proposition

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The Dudley Building Society has introduced a range of self-build mortgage products to its broker introducers.

Following the relaunch of its Help to Buy and shared ownership products, The Dudley is phasing its return to lending since it re-entered the market last month and is adding new products in specific niche areas.

The new products are discounted from the society’s SVR for the term of the mortgage. Rates vary depending on whether stage payments are taken in advance, if the applicant requires funding before each stage begins (4.74%) or can fund each stage before drawing down the stage payment in arrears (4.49%).

There is also a preferentially priced product with a deeper discount aimed at those applicants who are aiming to build an Eco Build property. Dudley is offering both advance and arrears eco products at 4.34% and 4.09% respectively, based on a discount for term from the Society’s SVR.

With LTVs up to 75% at end valuation, overpayments of 10% allowable without penalty in the first two years, an ERC of 3% of the current balance for the first two years and a maximum term of up to 35 years, Dudley expects a steady demand from its introducers.

Sam Ward, commercial director at the Dudley, said: “It is very exciting to see these products emerging. The self-build sector is a growing area where we believe we can provide our broker partners with a well thought out and well priced proposition.

“We are particularly pleased to have been able to build in an advance drawdown option to our self-build products as well as offering our eco build option at a special preferential rate. With one in seven people desiring to build their own home, we are confident that demand for self-build funding can only increase and we are delighted to be able to offer our introducers this facility for their customers.”

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