Hanley Economic Building Society has launched its home renovation mortgage, replacing its previous light refurbishment mortgage.
This new product has been designed for borrowers looking to update kitchens, bathrooms, or make general cosmetic changes, rather than large-scale construction.
The mortgage offers a discounted rate of 5.64% for two years, which is 2.85% lower than the society’s standard variable rate (SVR) of 8.49%.
It is available up to 80% loan-to-value (LTV) for purchase and remortgage, starting as interest-only for the first two years before moving to a capital and interest repayment plan.
Loan amounts begin at £30,000 and go up to £750,000 at 80% LTV, £1m at 70% LTV, £1.5m at 65% LTV, and £2m at 50% LTV.
The mortgage has a £299 application fee and a £999 arrangement fee, with no charge for early repayment.
It also comes with Buildout Indemnity Cover, paid by the society.
The underwriting will be done individually without credit scoring, and the mortgage is offered on properties across England, Wales, and Scotland, including the Scottish Islands by referral.
It is available through Hanley Economic Building Society branches and selected intermediaries.
David Lownds, head of products and marketing at Hanley Economic Building Society, said: “We’ve introduced the home renovation mortgage to better reflect the needs of the modern borrower.
“With more people choosing to renovate and enhance their homes, this product provides a flexible and cost-effective way to finance these improvements.
“This has been designed with simplicity and accessibility in mind, helping borrowers to achieve their design and lifestyle goals while still benefiting from our manual approach to underwriting and the personalised service we pride ourselves on.”
