New build

Principality can consider lending on properties where MMC are used.  For guidance, these are generally accepted:
•    Volumetric/modular e.g. factory manufactured units assembled on-site 
•    Panelised e.g. Structured Insulated Panels (SIPs) 
•    Hybrid e.g. SIPs inner skin with masonry outer skin 
•    On-site e.g. Insulated Concrete Formwork (ICF) 

Homes with MMC with non-masonry elevations are accepted if there is an appropriate warranty (when constructed), assurance certificates for the frame and the cladding and the Valuer confirming proven demand. 

Modern timber framed properties (post 2000) with non-masonry elevations are acceptable if there is: 
•    masonry to DPC level
•    an appropriate warranty (when constructed)
•    assurance certificates for the frame and the cladding; and 
•    the Valuer confirming proven demand.

Large Panel System (LPS) construction can be considered for houses only. Applications for flats are not accepted. Applications are subject to a Structural Engineer’s Report and the valuer being satisfied about the future saleability of the property.

Other MMC are considered on a case by case basis. 

All applications are considered on a case by case basis and are subject to the Valuer’s guidance. 
Warranties and accreditations

For homes with MMC, these warranties and accreditations are required: 
•    NHBC or similar ten year new build warranty  
•    BBA/BRE Certificates including 

Frame: Confirming the building system has a durability of at least sixty years. The Certificate must also confirm that the system can be used with appropriate claddings and roof types  

Claddings: Stating the maintenance required and their life expectancy. 

•    For volumetric or modular construction, a Build Offsite Assurance Scheme (BOPAS) accreditation or NHBC Accepts. 

For each application (security) we would expect to see an Assurance accreditation and a Warranty. NHBC Accepts can be used as both Warranty and Assurance accreditation. 
 

 We lend up to 95% LTV on Residential new build houses in England and Wales.

• We lend up to 90% LTV on Residential new flats in England and Wales*.
• We lend up to 75% LTV on Buy to Let new build flats and houses in England and Wales*.
• We offer HTB Wales up to 75% LTV on selected products.
• We have an extendable offer period for new build - 8 months initial with an 8 month extension. 
• No mortgage commitment fees or completion fees.
• Architects certificate accepted up to 90% LTV*.
• Builder's incentives (for example the payment of stamp duty, legal fees, cashback, mortgage subsidies.) are acceptable provided they are taken into account by the surveyor and are on the UK Finance Disclosures Form. Please note we're not responsible for any information contained on external websites.
• For cash incentives (e.g. builders gifted deposits, legal fees & stamp duty payment), we will accept incentives up to 5% of the property value.
• Builder’s gifted deposit, the client will need to put down a minimum of 5% deposit from their own funds.
• Builders gifted deposits not netted off the purchase price.

Visit our new build information for more. 

Residential and buy to let mortgage and re-mortgage offers are valid for a 180 day period (6 months), except in the case of a new build purchase, where offers are valid for 240 days (8 months).

£5,000 is the minimum loan amount for a new residential mortgage advance.

£25,000 is the minimum loan amount for a new build, buy to let or holiday let.

We lend up to 95% loan to value (LTV) for first time buyers, 90% LTV for home movers and 90% LTV on re-mortgage of residential houses, flats, maisonettes and apartments.

We will consider loans for the purchase or re-mortgage of a residential second home i.e. for the borrower’s own use to a maximum of 75% LTV. 

Leasehold properties

• All leasehold properties must have at least 85 years remaining on the lease at the time of application. 

Flats, studios, maisonettes and apartments

• For flats, we lend up to 95% loan to value (LTV).
• Flats, studios, maisonettes and apartments will be considered as long as the block is not more than 10 storeys.
• We will only lend between 6-10 storeys if the block is a ‘good quality’ residential development for private occupation and built by an established and recognised developer.
• Flats or maisonettes must be leasehold. 
• We are able to lend on ex local authority or housing association flats on developments where demand is high and accommodation is considered desirable. 

New builds

• On buy-to-let new build houses, flats, apartments, studios and maisonettes we lend up to a maximum of 75% LTV.
• On residential new build we lend up to 95% loan to value (LTV) for new build houses. For new build flats, we lend up to 90% loan to value (LTV).

We will not lend on  

• Any property that has a restricted occupancy clause i.e. 157 (relating to the sale of properties in national parks) or 106 (relating to property affordability).

We will consider Help to Buy Wales with as little as a 5% deposit.

Right to Buy council schemes. 
The mortgage loan must have the same names as those being offered the discount on the legal paperwork. We can lend the total discounted purchase price up to 95% of the property value. Where a clause exists that, for example, restricts the re-sale of the property the maximum loan will be 95% of the lower valuation and the tenant’s discounted purchase price. We don’t lend additional funds for home improvements on a right to buy application. We will consider house only, no flats.

We will include rent as a cost to the client when assessing maximum affordability for shared equity purchases.