BuildStore Mortgage Services and L&C Mortgages enters strategic partnership

05 September 2024

BuildStore Mortgage Services has entered a strategic partnership with L&C Mortgages to help them to navigate the post-Consumer Duty landscape.

BuildStore is the UKs leading provider of finance for consumers undertaking self build, custom build, renovation and conversion projects. BuildStore will now be the sole provider of mortgage advice to L&C’s homebuilding customers, which will be available to customers across the UK.

The partnership recognises the concepts of delivering good outcomes and avoiding foreseeable harm which were formalised in the Consumer Duty rules last year. L&C also recognises the need for expert advice in more complex borrowing areas to make sure the rules are complied with and consumers achieve the best possible outcome.

BuildStore has been helping people finance their home-building projects for over 25 years and can access all forms of home-building finance including over 60 guaranteed stage-release mortgages designed with their long-standing lender panel.

The stage-release products require no formal valuations and have no LTV limits during the build. This takes away the risks associated with traditional self-build mortgages which rely on an uplift in value before more money can be released by the lender. This out-dated approach carries a significant risk that the client won’t get the money they need during their build. Instead, the innovative products offered by BuildStore link stage releases directly to pre-agreed build costs and ensure the customer gets the money they need when they need it, resulting in great outcomes for the client.

Raymond Connor, CEO at BuildStore said, “Self-builders’ finance needs vary hugely depending on their personal circumstances and the project they’re undertaking. We provide customers with expert advice to find the right product for their project. In addition, we support them right through their build. We also make sure they’ve costed their project accurately so that they get the money they need at the right time to cover their costs and get their home completed.

“This deal recognises the importance of expert advice and support in the post-Consumer Duty era and we expect this to be the first of many similar collaborations.”

Simon Hendy, Chief Relationship Officer at L&C Mortgages said, “We’re delighted to launch this partnership with BuildStore. We’ve been focused on improving and broadening the service that we offer our customers. Working with BuildStore will offer greater support to our advisers in meeting their customers’ self-build and refurbishment requirements.

“Buildstore stands out as a partner that excels in its field and sets standards that will dovetail perfectly with the high standards that L&C customers expect. We look forward to working with BuildStore in a market that we expect will only see further growth.”