--- title: "A Guide to Investing in New Builds and Conversions" description: "How lending differs on new builds and conversions: New Build Warranties, Professional Consultant Certificates (PCC) and retrospective PCCs, deposits, documentation, and the lenders that accept them." url: "https://mortgagelane.com/insights/investing-in-new-builds-and-conversions" site: "Mortgage Lane" collection: "posts" date: "2026-03-30" author: "Joseph Lane" category: "Guides" reviewed: "2026-09-11" reading_time: "6 min" byline: "Joseph Lane" author_credentials: "CeMAP · FCA authorised firm" language: "en-GB" robots: "index,follow" --- # A Guide to Investing in New Builds and Conversions How lending differs on new builds and conversions: New Build Warranties, Professional Consultant Certificates (PCC) and retrospective PCCs, deposits, documentation, and the lenders that accept them. Information on investing in newbuilds and conversions, such as things to look out for and incentives for borrowers. [Development finance](https://mortgagelane.com/definitions?term=development-finance) Development finance Property finance used to fund a construction or conversion project, with borrowing structured around the project budget and progress. [Read the full definition of Development finance](https://mortgagelane.com/definitions?term=development-finance) ## In short If you’re considering investing in new build or conversion properties, it’s important to note that the lending process for these types of properties can be more complex than for existing properties. However, this doesn’t mean that investing in new builds or conversions is a bad idea, as these types of properties can offer a range of benefits for investors. To ensure a successful lending process, it’s important to work with a lender who is willing to lend on these types of properties and has experience in doing so. **Lending on new build and conversion properties runs to different criteria from existing homes: lenders require warranty or certification cover, additional documentation, and often larger deposits, and fewer lenders play in the space at all.** None of that makes these properties poor investments; new builds bring energy efficiency and low early maintenance, and conversions bring character that standard stock cannot match. It means the lending must be structured with a lender that actively supports the property type, and the right certification, New Build Warranty or Professional Consultant Certificate, in place before application. This guide covers what changes in the lending criteria for each, and the certification routes that make a conversion mortgageable. ## New build investment: how the lending differs **The defining lending requirement on a new build is the New Build Warranty. Cover for structural defects in the foundations, walls, roof, and key structural components, typically purchased by the developer, protecting both borrower and lender.** A New Build Warranty is not home insurance: home insurance covers floods, fires, and theft, while the warranty covers construction defects emerging in the years after the build. Lenders require both to be in place. Beyond the warranty, four criteria differences separate a new build from an existing property: - **Deposit.** Lenders typically require a larger deposit on new builds, capping loan-to-value lower to mitigate the risks of lending on newly built stock. - **Documentation.** Drawings, plans, and development information are requested so the lender can verify construction quality and the property's likely ability to hold value. - **Building regulations.** Evidence of compliance with local building regulations is required. - **Valuation.** Where the property is still under construction at valuation, the surveyor may value from plans and drawings rather than a physical inspection. Lenders often carry specific new-build product ranges, in some cases with preferential rates or extended repayment terms. ## Conversion investment: the certification question **Lenders treat a converted property, a former pub, church, school, or commercial unit turned residential, under the same criteria lens as a new build, which narrows the lender pool and puts certification at the centre of the application.** The conversion must be evidenced as compliant with building regulations, so lenders review the drawings, plans, and documentation for the works in detail. **Why conversions use a PCC instead of a warranty.** A New Build Warranty on a conversion is often disproportionately expensive. The complexities and potential defects of converted buildings push the premium up, and works that fall short of building regulations can make the property ineligible for a warranty altogether. The cost-effective alternative is a **Professional Consultant Certificate (PCC)**: a certificate from a suitably qualified professional (typically the supervising architect) confirming the works were monitored and completed to the required standard, protecting developer, borrower, and lender against defects. A PCC is quicker and cheaper to obtain than a warranty. **The retrospective PCC (RPCC).** Where no PCC was obtained at the time of the works. Common when an owner comes to sell years later and the original architect cannot be traced: a **retrospective PCC** provides the same cover after the fact. If the original architect cannot be located, another local architect can assess the property retrospectively and issue the certificate from that assessment. Mortgage Lane works with several lenders that accept PCCs and retrospective PCCs, so conversion cases arrive with a pre-researched lender list rather than a cold search. ## Related mortgage insights and guides - [2026](https://mortgagelane.com/guides/first-time-buyer-mortgage-guide)Guide[The Complete First-Time Buyer Mortgage Guide](https://mortgagelane.com/guides/first-time-buyer-mortgage-guide)The complete first-time buyer guide: deposits, 95% and 100% mortgages, JBSP and gifted deposits, concessionary purchases, Shared Ownership, First Homes, Right to Buy and every devolved scheme.[Read more about The Complete First-Time Buyer Mortgage Guide](https://mortgagelane.com/guides/first-time-buyer-mortgage-guide) - [2026](https://mortgagelane.com/guides/buy-to-let-mortgage-guide)Guide[Buy to Let Mortgage Guide](https://mortgagelane.com/guides/buy-to-let-mortgage-guide)The complete buy to let guide: ICR stress testing with worked examples, limited company vs personal ownership, portfolio rules, valuations, tax mechanics, and every specialist scenario linked.[Read more about Buy to Let Mortgage Guide](https://mortgagelane.com/guides/buy-to-let-mortgage-guide) - [2026](https://mortgagelane.com/guides/residential/mortgage-on-new-build-off-plan)Guide[Mortgage on new build off plan](https://mortgagelane.com/guides/residential/mortgage-on-new-build-off-plan)An off-plan purchase brings construction dates and mortgage offer expiry into the same decision. Explore valuations, delays, deposits and completion requirements.[Read more about Mortgage on new build off plan](https://mortgagelane.com/guides/residential/mortgage-on-new-build-off-plan) ## New Build FAQs **Q: Why is a New Build Warranty important?** faq-id: why-is-a-new-build-warranty-important A New Build Warranty holds the builder accountable for defects arising within the specified period after completion, and protects the buyer and lender against structural issues. Lenders require one on new build purchases alongside standard home insurance. **Q: What risks come with buying a new build?** faq-id: what-risks-come-with-buying-a-new-build New builds carry risks existing properties do not: construction delays, limited negotiating room, warranty period limits, and market movement between reservation and completion. Researching the developer and reviewing every document before committing minimises them. **Q: What makes a new build a good investment?** faq-id: what-makes-a-new-build-a-good-investment New build properties are usually equipped with brand new, energy efficient amenities which can make the property more attractive to tenants and future buyers. This also means that there will generally be less maintenance involved, as systems such as plumbing and electricity are brand new, meaning you are less likely to be faced with issues for the short term. The property is also likely to stay in good condition for a longer time, so new builds are a great long-term investment. **Q: What makes a conversion a good investment?** faq-id: what-makes-a-conversion-a-good-investment Conversions from pubs, churches, and schools carry a uniqueness that draws buyers and renters, and a well-executed conversion can appreciate strongly over time. **Q: How do I get a PCC if I can't find the original architect?** faq-id: how-do-i-get-a-pcc-if-i-can-t-find-the-original-architect Another architect local to the property can assess the conversion retrospectively and issue a retrospective PCC based on that assessment: the standard route where original professionals cannot be traced. **Q: Do you work with lenders that accept PCCs and retrospective PCCs?** faq-id: do-you-work-with-lenders-that-accept-pccs-and-retrospective-pccs Yes. Several lenders we regularly use accept both, and we maintain a researched lender list for conversion cases so applications go to lenders with genuine appetite first. ## Talk it through with an adviser Let’s talk property finance ## Contact us **Call our team:** [+44 333 231 8206](tel:+443332318206) **Email us:** [enquiries@mortgagelane.com](mailto:enquiries@mortgagelane.com) **Opening hours:** Monday to Friday, 9am–6pm Closed Saturday and Sunday Your enquiry goes to our team, who will get in touch to discuss your next steps. Fields marked are required. First name Last name Email Phone What can we help with? Residential mortgage Remortgage Buy to let Bridging finance Commercial Something else Tell us about your enquiry I am happy to receive occasional mortgage news and rate updates. Send enquiry We use your details to respond to your enquiry and, if you opt in, send updates. See our [privacy policy](https://mortgagelane.com/privacy-policy). Published: 2026-03-30 Last reviewed: 2026-09-11 Source: https://mortgagelane.com/insights/investing-in-new-builds-and-conversions