Leeds Building Society has relaunched into the self-build market with a new variable, staged release product.
The product is currently priced at 6.19%, after which the borrowers can transfer to another deal. There is no higher lending charge and fixed fees of £999.
Funds are released in five stages, which are Land Purchase, Wall Plate, Roofed In, Plastered Out and Completed. The Leeds will release up to 75% of the value for each stage. Funds are released following an inspection by a qualified surveyor or valuer and sent electronically. Borrowers do not pay any interest until they have received the funds.
Phil Coombes, head of intermediary sales at Leeds Building Society, said: “It is often very difficult to predict and budget exactly for five stages. Purchasing the land will usually be the biggest expense and we will lend up to 60% of the value with outline planning permission and 75% with full planning consent. The flexibility of our self-build product means the process is made much easier.
