Builder incentives & mortgage

Arlo

We are hopefully reserving a new build, have a dip with Halifax. I know it says we are allowed upto 5% in incentives (not sure if it stated cash)
They currently have £10k off the price of some plots ( same house but not the plot we want) & will pay our stamp duty, which will come to 5%, now can I ask for extras to be thrown in as well such as range oven, granite worktops, flooring etc? Or will they be classed in the 5%?

Yes I know it would be cheaper to source them ourselves but if I can get them included, it will save us the hassle of having to do it & we haven't really got xxxx of spare cash for what we would like so it would be get them thrown in or don't get them at all
Thanks

kingstreet

Is it HTB?

If so, what's the deposit %?

If only 5% deposit, builder cash incentives are limited to 1% of purchase price.

It's only 5% with bigger deposit, or non-HTB.

Non-cash incentives don't count, nor does a price reduction.

Arlo

Oh no, yes htb with 5% deposit. We were hoping. To get our stamp duty paid at least which is £6250, but 1% of the purchase price is only £3250 ☹️️ I'm sure I read it was 5% incentives
We had a nationwide mortgage before again htb and we had our stamp paid Which was £9k, Halifax must be different.
We are going through a broker and they haven't mentioned anything, I will have to ring tomorrow, we are going Saturday to try to a deal

Arlo

I have found it now, shared equity mortgages. Loan & cash incentives can not be more than 95% of the Equity share

So we are best off trying to get a discount on the house, and then 1% contribution to costs plus as many extras i.e. Flooring, kitchen as we can possibly get! That's just added a possible £4500 to our costs
Glad I asked the question!

kingstreet

I have found it now, shared equity mortgages. Loan & cash incentives can not be more than 95% of the Equity share

Yep. So 5% deposit means 1% incentives...

So, why Halifax?

If your builder cash incentives are more than 1% any other lender (but TSB) on the HTB EL scheme would be better.

Are you using an experienced newbuild broker, as this is really, really elementary stuff for those of us who profess to any degree of expertise in this area...?