A Homeowner’s Guide To Self-Build Mortgages In Ireland

Whether you are building your very first home or fixing up a run-down unit as an investment, understanding the power of self-build mortgages is very important. These mortgages could be what it takes to help you build the house of your dreams without financial constraints slowing the project down or forcing you to compromise on details you actually prioritize.

The best part is that if you play your cards right, you could easily turn your self-build mortgage plan to help put up a home that will be the best investment of your life.

But what exactly are self-build mortgages? How are they different from buyer mortgages? And most importantly, are they really a good idea to invest in?

What is a self-build mortgage?

According to a recent survey, more than 50% of new homes built in Ireland are self-build projects.

Building a home or renovating a beaten up fixer-upper can be very pricey. Self-build mortgages are designed to ease the stress on the future homeowner by taking care of all important needs that come up as the building project continues.

The self-build mortgage plan is ideal for aspiring homeowners who want to quite literally make their homes their own. By being involved in the building process, you get to infuse your future home with your very essence from the choice of layout to every last finishing detail.

This freedom is in contrast to residential mortgages that fund the purchase of homes that, to be frank, may never tick all your boxes.

Self-build mortgages vs. traditional residential mortgages

This isn’t the only difference between the two mortgage plans.

What makes self-build mortgages interesting is that, unlike buyer mortgages, you do not receive the full amount you qualify for all at once. Instead, most mortgage lenders will release funds as each stage of the building process is completed.

This is what is referred to as “staging the building costs”.

With this step-wise release of funds, you won’t have unforeseen expenses taking up all the money before you get to other important stages of the building project. This increases the chances of the building work being completed in a timely fashion.

That is why it is important to also have a separate nest egg that will cover any additional costs.

What you need to secure a self-build mortgage in Dublin

As with any other mortgage, there are a lot of requirements from paperwork to credit scores that you need to qualify for a self-build mortgage. However, there are 3 specific requirements without which this specific type of mortgage will not work. These are the site where the home will be built, plans for the build, and a budget.

With some mortgage lenders in Dublin, the site can actually serve as a deposit or security that will help fast-track the approval process.

Turn to Quigley Financial Brokers to secure your ideal mortgage

Quigley Financial Brokers is home to the leading mortgage broker Dublin experts. We have a lot to offer in your journey to building your dream home and helping you secure a good self-build loan will be the most important step.

With our advice and guidance through the entire process, you will be able to identify the best self-build mortgage plans and make an application that will be hard to say no to.

If you are curious about other mortgage plans including and investment options to help you finance your dream home, Quigley Financial Brokers are home to one of the most experienced and skilled financial minds in Dublin.

Reach out today

Contact us today and book your consultation and see how Quigley Financial Brokers can help you choose the best options available or contact richard@quigley.ie for further information.