Mortgage companies who will lend more for modernisation?

go4it

Hi, would appreciate any help!

I'm a FTB, and as a teacher I was recommended Standard Life's Professional Mortgage. Now they will lend 5X my wage. I started looking at proprties around 100K but then decided that I didn't want to take the risk, particularly as half my wage would have been mortgage plus the add ons - tax, ins etc.

I decided to look for somewhere cheaper and have found a house in a nice area, but is in need of doing up a little. It's not run down, it's been lived in by an older person and hasn't been done up for about 40 years!! Now for Standard Life's mortgage, the minimum they will lend is 75K. The house I have seen is 65K.

Now I would need money to do up the house. Would Standard Life lend the extra amount? Does anyone know of any mortgages that might lend extra for modernisation? I have no deposit and so am looking at 100% mortgage.

UK007BullDog

Yes there are lenders out there willing to lend more than 100% especially as a teacher you can get some very good deals.

Also check out RBS, Scottish Widows, Northern Rock and a few more.

Also speak to a broker, they can sort a good deal for you and show you the deals of the above lenders to see if they will fit your requirements.

MortgageMamma

To be honest if you are only borrowing 65k you probably don't need the "professional mortgage" from Standard Life anymore and you wold be wiser to get a cheaper deal with a high street lender.

With regards to doing the property up, I would advice trying to save for any work you need to do, not only will you gain interest on your savings but you will save yourself paying further interest on your borrowings. If you really do have to borrow i.e. if the kitchen is unusable or something, then keep it to the absolute minimum.

You dont need to have the house looking perfect straight away - most of the fun is in the saving and doing it up slowly

go4it

Thanks for the replies, I will check out some more deals.

The property is usuable, I will probably save and do a room every so often.

I'll have to put an offer in and see if I get it!!

MortgageMamma

Good luck, let us know ifyou get it! remember to offer below asking price - see this link for more info http://forums.moneysavingexpert.com/showthread.html?t=175653