Mortgage options for extension

Jay_Cee_Ooh

Hi All,

Just looking for a bit of advice. My wife and I have planning permission for an extension on our property. No real idea of cost yet but working on approx £50K. We are lucky enough to be on the Woolwich base + 0.18% rate at the moment with our current mortgage. A bit under £80K outstanding with about 16 years left. As you can imagine I'm loath to remortgage this right now because it's at such a good rate. Am I right in thinking that if I approach the Woolwich for a further advance it's only this additional borrowing that would be on a different rate, or would the whole balance need to be remortgaged, thus losing the rate I currently have?

Of course I could approach another lender for the whole balance but if the above is correct that would be my best option, wouldn't it?

As always, thanks for your advice.

Cheers,

Jay

herbiesjp

Jay_Cee_Ooh wrote: »

Am I right in thinking that if I approach the Woolwich for a further advance it's only this additional borrowing that would be on a different rate,

That is correct

dangers

We did this back in September for the same reasons as you. We have our main mortgage at 0.19% above base, with the extension money at 0.89% above base. As soon as the extension is finished, we will be concentrating on over paying on the extension mortgage.

Jay_Cee_Ooh

dangers wrote: »

We did this back in September for the same reasons as you. We have our main mortgage at 0.19% above base, with the extension money at 0.89% above base. As soon as the extension is finished, we will be concentrating on over paying on the extension mortgage.

Thanks dangers. If you don't mind me asking, was that additional borrowing rate widely available at that time or was that an offer made to you only? I'm just trying to work out if the Woolwich will offer some kind of deal for the additional borrowing or is it whatever rates they currently advertise? I'm not in a position to go ahead with all this yet and don't really want to actually contact the Woolwich until I'm at the point of needing the money.

Cheers,

Jay