Land Buyers

W

Whoopit

Well-Known Member
Joined
4 May 2009
Messages
862
Location
Oldham, Manchester. For my sins!
Visit site
For those of you who have bought land on a mortgage and built equestrian facilities - can you just obtain a normal mortgage as though you were buying a house or do you have to get some sort of business mortgage?

It's strictly for private use, not to run as business.
 
You would be best to go to a specialist small holding/agricultural mortgage provider.
You will need to be able to demonstrate that you can obtain change of use from agricultural to equestrian and they may ask you to do this before they release the funding.
 
First Direct / HSBC, will give you a normal residential mortgage on properties up to 12 acres Normal simple process just like buying a terrace house. bigger properties I'd imagine you need something specialist, but 12 acres is fine for most hobby riders.

I've also bought with another highstreet lender but that was a while ago.
 
Polos Mum said:
First Direct / HSBC, will give you a normal residential mortgage on properties up to 12 acres Normal simple process just like buying a terrace house. bigger properties I'd imagine you need something specialist, but 12 acres is fine for most hobby riders.

I've also bought with another highstreet lender but that was a while ago.
Click to expand...

I think it will depend if the land is adjacent to the OPs property or not . Otherwise talkk to an agricultural land agent as they will have the contacts to set you up!
 
I think you have to get a remortgate/equity release on the house and then use that for buying the land. You are advised to check this though.
 
Are you buying just land, ie no house with it? Not sure, but I think you might find it difficult - impossible?- to get a mortgage just to buy land if you're not a farmer or already a landowner looking to expand.

I'm sure someone will correct me if I'm wrong.
 
Last edited:
We looked into this about two years ago. Broker's advice was that for a land only mortgage, we would need at least 50% deposit and then we planned to switch to a self build mortgage once planning permission for a residence had been obtained (cannot get a self build mortgage on land without at least outline PP). That was the case then, but we didn't pursue it in the end as decided against building in that location. I'm not sure what will have changed since then by way of mortgage rules or regulations, but a mortgage advisor will be well placed to help you. Good luck - having your own facilities is the dream!
 
The house and land are separate titles and the building society would only lend against the house. So, I had to buy the land in cash and have a larger mortgage on the house.
 
I took out extra on my existing house mortgage and used the house as security. Tags was fifteen years ago though, and have now paid off the field by moving the mortgage.
 
happyclappy said:
I took out extra on my existing house mortgage and used the house as security. Tags was fifteen years ago though, and have now paid off the field by moving the mortgage.
Click to expand...

I did the same 5 years ago. The Yorkshire Building Society wouldn't lend on land nor would they add the value of the land to the value of the house (land is adjacent).
 
You must log in or register to reply here.
Top