New and beginner to this but trying to learn

[FastLaneJB]

Hi all,

 

Getting interested in trying to build a forever home for myself and the wife. Both myself and wife work from home these days so location can be pretty flexible soon once my youngest son finishes his GCSE’s.

 

What I’m not quite sure on yet is around the financial approach to pull this off. We have a house where we’ve around 1/3 of the value as equity. I don’t have the money to buy a plot without selling this though in terms of mortgage potential at least on current lender for a normal mortgage we could easily increase to beyond the cost of a plot.

 

So wondering how to maybe do this. Do I sell current house and find somewhere to live in the mean time or can I get say a self build mortgage to cover the plot, then sell up before starting the build? Is that possible even? Guessing would get stuck for second house stamp duty but doesn’t seem too bad.

 

If I look at current normal mortgage lender I’d be able to increase my mortgage more than enough to get a plot of land and then some so in theory the credit should be possible.

 

We’d probably rent while we build but I’ve been telling the wife we’d live in a caravan and wearing her down to the idea. So by that point she’ll think renting in a tiny place to avoid affecting mortgage limit too much is the lap of luxury.

[ToughButterCup]

Welcome.

9 hours ago, FastLaneJB said:

...

What I’m not quite sure on yet is around the financial approach

...

Do I sell current house and find somewhere to live in the mean time or can I get say a self build mortgage to cover the plot, then sell up before starting the build?

...

We’d probably rent while we build but I’ve been telling the wife we’d live in a caravan and wearing her down to the idea. So by that point she’ll think renting in a tiny place to avoid affecting mortgage limit too much is the lap of luxury.

 

Have a look at the Funding Self Builds section of the site.

Lots of people have lived in really quite difficult surroundings while completing their build. Caravans can be made 'nice', but at the cost of diverting effort from the build.  It's an added stress that should not be underestimated.  The process wears everyone down.

 

Except @nodwho has too much energy and determination.

[FastLaneJB]

Thanks for the info and YouTube video…

 

Will have a good read over the other forum section and make a post if cannot find a thread that already covers it.