refurbishment catch 22

moneymagnet_2

Any help here would be really appreciated!

about 20 months ago we took out a refurbishment mortgage with staged payments. I guess we should have known that it would cost more than we thought, but... we got it wrong!

Anyway we have run out of money and can't complete the work. The mortgage company will not release the last payment until completion (although why we would need money when we have finished is a mystery to me!)
We can't remortgage as we have been told that we wouldn't be able to do this until the house is signed off and we can't get it signed off until we complete, and we can't complete without the funds....etc get the picture?
On top of this we will reach the 2nd anniversary of the mortgage in May and of course our introductory offer expires...

We only need about £10,000 - any ideas??

silvercar

Have property prices in your gone up? If so you could ask for the valuation to be redone. This may release the funding you need.

Otherwise you are looking at taking out loans or making payments on a (0% if you can find one) credit card.

moneymagnet_2

Thanks for that,

yes property prices have gone up and the last inspection that the surveyor did was favourable, but they don't seem to be offering more money!
I guess 0% credit cards it will have to be. Although that feels risky to me as I know these things often take longer than 6 months.

silvercar

Ask the mortgage company for more money. State your case very specifically. If at the last stage they were prepared for you to have 80% of a property valued at £200k ie £160k, if the property is now valued at £240k they should be willing to give you £192k which would be another £12k. They may say there will be an admin charge to reschedule the payments but this could be your cheapest option.

moneymagnet_2

ok well thanks I'll give it a try - you never know..

thanks for your help - I'll let you know

MM