LouiseO Posted May 17, 2021 Share Posted May 17, 2021 Hi. We've just had a mortgage offer from ecology mortgage for our self build home. In the special conditions they say that ' Subject to a retention of £32,000 to be released in stage payments upto 80% of increased valuations as the work progresses. Release of the retention may only be claimed upto a maximum of 24 months after the advance has been made ' I'm probably being really stupid but I don't really understand. Does this mean we won't be able to have the 32000 until it's completed?( we don't have that amount of our own savings to complete the build ) Link to comment Share on other sites More sharing options...
Conor Posted May 17, 2021 Share Posted May 17, 2021 It means they release the funds depending on the added value of the work done when you request the money. It's an arrears mortgage, i.e. you'd get foundations, slab etc down, valuer would come out, value the work at £10k, then you'd draw down £8k of the approved loan. Link to comment Share on other sites More sharing options...
nod Posted May 17, 2021 Share Posted May 17, 2021 Quite normal Nothing to worry about They will release the 32 k as the value of your build goes up Link to comment Share on other sites More sharing options...
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