Help to Build equity loan - Grand Designs Magazine

Help to Build: Everything you need to know

The government’s new Help to Build: Equity Loan can make self-build a reality, even if you have a small deposit

Promotional Feature By Lorraine Crighton-Smith |

It can be hard to know where to start when it comes to financing your first self-build or custom-build home. With the government’s new Help to Build scheme, budding self-builders in England can apply for an equity loan based on the estimated costs to buy a plot of land and build the home.

help to build equity loan - how does it work?

Help to Build makes it easier to create your dream home. Photo: Homes England

Why self-build?

Building your own home is the ideal way to create a property that ticks all the boxes. For a truly bespoke home experience, a self-build or custom build can be the best option. The benefits of building your own home include being able to customise and build in features to fit your lifestyle – and it can now be a more affordable option.

self-build is a great way to create an accessible home that suits your needs

Building your own home means you can adapt it perfectly to your needs. Photo: Homes England

How does Help to Build work?

The Help to Build: Equity Loan will be available to people in England who want to custom build or self-build their own home. The government’s new equity loan will be offered based on the estimated costs to buy a plot of land and build the home. The equity loan amount can be between 5% to 20% (up to 40% in London) of the total estimated cost.

If you’re eligible, you can spend up to £600,000 on your new home. This must include the cost of the land if you don’t already own it, and no more than £400,000 on the cost of building it.

Where does the ‘help’ come in? After completing your build the equity loan is paid to your mortgage lender and then in the first five years of your Help to Build: Equity Loan, no interest is charged, to help you get started with building your own home.

young couple renovating their home consult a colour chart

Custom and self-build offers more flexibility. Photo: Homes England


You’ll be able to apply for Help to Build if you are over 18 years old and have the right to live in England. You will also need to have a deposit of at least 5%, you have to live in the property as your only home, and you will be required to secure a self-build mortgage from a lender registered with Help to Build.

Most lenders will need you to have outline planning permission for the land you want to build on before they assess or approve your self-build mortgage. If offered an equity loan, you will then have three years to build your home.

For further information on the Help to Build scheme, visit