The Mansfield Accelerator product is a Standard Variable Rate mortgage at 85% LTV, with a pay rate of 5.59% and is available for house purchase and remortgage, where clients can borrow up to 85% of their land and build costs, subject to a maximum LTV of 85%.
The exclusive product comes with no Early Repayment Charges and also provides the option of making unlimited overpayments, without penalty. It is available for self build, custom build, renovations, conversions and home improvements in England and Wales.
An Accelerator mortgage provides funds at the beginning of each stage based on the costs of that stage, ensuring funds are available when required and removing uncertainty.
Having the funds before each stage of their build means your clients can pay their suppliers and trade teams whenever they want paid, at milestone stages of the build – monthly, weekly or even daily! They will also become cash buyers of materials and as a result won’t need to create merchants accounts and can even negotiate better terms.
Accelerator is ideal for clients choosing an offsite produced timber frame, sips panel or ICF superstructure where often as much as 90% of the system needs to be paid for, before it leaves the factory.
If you have clients extending their current home but unable to release equity from their current property, the Accelerator mortgage can clear their existing mortgage and release funds before each stage of the works to extend the property because the loan will be based on the anticipated end value, rather than the current value that a traditional mortgage would take into account.
A further key benefit of Accelerator is that your clients can continue to live in their own home while they build their new home. Accelerator simply runs alongside the existing mortgage throughout the project and is treated as a commitment by the lender. Your client only pays interest on the amount of money drawn down as the build progresses which makes the choice of running two loans simultaneously more affordable.
Full product details for the new Mansfield Accelerator product can be found here.