Welcome to this edition of the Town & Country New Build Newsletter. This monthly update will have some highlights of the latest products available, details of current schemes, as well as the latest industry news.
Kensington Mortgages has launched an enhanced service promise for all new build mortgages products across its range offering case underwriting within 48 hours and offers within 21 days.
Because of the new offering, borrowers with complex circumstances will be allowed to meet more demanding timeframes when looking to purchase a new build.
From the initial application new build cases will be processed by a specialist underwriting team with named underwriters, right through until the loan offer. Alongside the commitments for case underwriting and offer customers will also benefit from a day one valuation instruction.
The announcement comes after Kensington’s recent criteria improvements, including increasing loan-to-values to 90% for new build houses and flats. Kensington’s new build mortgages all include a six-month extension period, no up-front application fees on any product and free valuations on all Help to Buy products.
New government plans could see leasehold fees capped at just £10 and the majority of new builds could be sold as freehold, which could significantly boost the new build market.
The consultation runs for six weeks and will ask for views on appropriate and fair exemptions for the houses that can be sold as leasehold, such as shared ownership properties.
At the moment leaseholders pay, on average, more than £300 a year on ground rent with some paying as much as £700.