Heron Financial arranged a £607,000 mortgage with HSBC for Intermediaries at an initial fixed rate of 4.03% for joint home movers buying a £715,000 new build detached house in Kent. The £107,000 deposit was made up of £80,000 from the sale of their previous property and £27,000 in personal savings, placing the loan at approximately 85% LTV. The case completed in December 2025.
The clients
The clients were a British couple in PAYE employment, with one applicant working as an Audit Manager. They were home movers, buying a new build detached house in Kent for £715,000. The deposit combined £80,000 from the sale of their previous property with £27,000 in personal savings, giving a £107,000 contribution toward the purchase.
The case at a glance
- Buyers: Joint home movers, British nationals, employed (PAYE)
- Occupations: Audit Manager (and second applicant)
- Property type: Detached house (new build)
- Location: Kent
- Purchase price: £715,000
- Deposit: £107,000 total (£80,000 property sale + £27,000 personal savings) (~15%)
- Loan amount: £607,000
- LTV: Approximately 85%
- Lender: HSBC for Intermediaries
- Product: Fixed Rate
- Initial fixed rate: 4.03%
- Repayment method: Capital and interest
The challenge
Two structural features and two procedural challenges shaped this case.
1. New build purchase at 85% LTV. New build properties have specific lender considerations that older homes don’t carry. Lenders typically require a Predicted Energy Assessment (PEA) for new builds, the equivalent of an EPC for properties not yet completed. The PEA shows the property’s expected energy rating once finished and is used by lenders for energy-efficient product variants. Some lenders also apply specific LTV caps for new build flats and houses, though detached houses generally face fewer restrictions than flats.
At 85% LTV, the case sat just below the 90% threshold and inside the active mainstream lender field. The new build factor narrowed the lender shortlist slightly but most major UK lenders compete actively in this segment.
2. Combined deposit from sale plus savings. The clients funded the deposit from two sources: £80,000 from the proceeds of their previous property sale and £27,000 from personal savings. Lenders accept this structure cleanly when each source is evidenced, the completion statement from the previous sale, and bank statements showing the savings. The total £107,000 deposit gave a 15% contribution and placed the loan at 85% LTV.
3. Procedural challenge, new build energy evidence. During the application process, a question arose about the evidence linking the Predicted Energy Assessment to the specific property being purchased. New build documentation can sometimes lag behind the property’s final state, with PEAs issued at the development planning stage referencing addresses or postcodes that change before completion. Where this happens, the lender typically requires a clear evidence trail showing the PEA relates to the property the mortgage is securing. The Heron team worked with the developer and solicitors to assemble the right paperwork and resolve the question.
4. Procedural challenge, conveyancing documentation review. During conveyancing, a question was raised about the precise legal name on the mortgage offer compared with other documentation. The Heron team reviewed the records held on the client, confirmed the correct legal name based on the identity documents in the file, and provided the necessary clarification to resolve the question with the solicitor and lender.
Neither challenge was decisive, but each shows the kind of detailed attention that new build mortgage applications can require. Both were resolved through proper documentation review and the case proceeded to completion.
How Heron Financial approached the recommendation
The Heron adviser worked through affordability against the clients’ recorded household income, confirmed the dual deposit source (sale proceeds plus savings), and matched the case to a lender comfortable with new build detached houses at 85% LTV. HSBC for Intermediaries, the broker channel of HSBC UK, came through with a competitive 4.03% rate.
Heron Financial managed the application through underwriting, including the standard new build documentation, the property sale evidence, the savings evidence, and resolution of the procedural challenges that arose during the process.
The outcome
The case completed in December 2025. The clients moved into their new Kent home with a fixed monthly payment locked in for the term of the product.
What this means for buyers in a similar position
For home movers buying a new build, several specific considerations shape the application. A few practical points worth knowing.
New builds require their own documentation. PEAs (Predicted Energy Assessments) for new builds, build completion certificates, NHBC or equivalent warranties, and developer information are all routinely required. Most of this comes through the developer and solicitor, but a broker who understands the new build process keeps the application on track.
Dual deposit sources need clear evidence for each part. Property sale proceeds need the completion statement from the previous sale. Personal savings need bank statements showing the account history and source of funds. Lenders accept multi-source deposits cleanly when each part is documented.
85% LTV is a competitive bracket for home movers. Most major UK lenders compete actively at 85% LTV, and rate differences between lenders can matter. The right placement matches the borrower’s specific income, deposit structure and property type to the lender’s appetite.
HSBC is regularly considered for home mover cases. HSBC for Intermediaries is the broker channel of HSBC UK, one of the major UK mainstream lenders. Heron Financial assesses each case against the wider lender market.
Procedural challenges happen on most new build cases. Documentation alignment, developer paperwork, build completion timing, energy evidence, most new build cases encounter at least one procedural question along the way. Good case management resolves these without slowing the underlying timeline.
FAQs
Can I use property sale proceeds and personal savings together for a deposit?
Yes. Lenders accept multi-source deposits when each part is properly evidenced. Sale proceeds require the completion statement from the previous property sale, and savings require bank statements showing the account history. In this Heron Financial case, the clients combined £80,000 from a property sale with £27,000 in personal savings to make up a £107,000 deposit.
What is a PEA and why does it matter for new build mortgages?
A Predicted Energy Assessment (PEA) is issued for new build properties before they are completed and shows the predicted energy rating once the property is finished. Lenders use the PEA in place of an EPC for new builds, and some lenders’ green mortgage products require the PEA evidence to be clearly linked to the specific property being purchased.
Is HSBC good for new build mortgages?
HSBC for Intermediaries is the broker channel of HSBC UK and is regularly considered for new build cases including home mover purchases at 85% LTV. Heron Financial assesses every case on its merits and selects a lender based on affordability, product pricing, criteria fit and service standards at the time of application
What rate can a home mover expect at 85% LTV on a new build?
Rates depend on the lender, product and rate environment. In this Heron Financial case, joint home movers secured a 4.03% rate with HSBC for Intermediaries on a new build at 85% LTV. The 80–85% LTV band typically sits in competitive mainstream pricing across major lender
How long does a new build mortgage take to complete?
New build timelines vary. Build completion dates, developer documentation, energy evidence and standard underwriting all contribute. Most new build cases complete within standard timelines (8–12 weeks from application), but specific developments or paperwork questions can extend timelines. Working with a broker who tracks the case end-to-end keeps the process moving.
