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Can I get a mortgage to build an extension?
lindentree_2
Posts: 3 Newbie
Hi,
Anyone know the best way to borrow a relatively small amount of money to build a small extension? I do not have a mortgage and own my house outright. With interest rates so low it makes sense to use a mortgage at 3% vs a loan at 9%. Thanks
Anyone know the best way to borrow a relatively small amount of money to build a small extension? I do not have a mortgage and own my house outright. With interest rates so low it makes sense to use a mortgage at 3% vs a loan at 9%. Thanks
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Comments
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Only way would be to remortgage your house, but its going to be the term your going to pay it back over etc . obviously are you working your age etc will all come into it can see your point but i dont think you will get anywhere plus of course the loan would be secured on the property al depends on how much you were thinking of an interesting thought thou0
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some facts always help0
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need about 20K, house worth 250K, earn enough to borrow 168K ,0
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assuming all else well (good credit record, on the electoral roll) then your only difficulty should be getting a mortgage that low0
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Thanks, I did think that there was a minimum of 25K to borrow. I was going to borrow that amount spend what I need then repay the mortgage. Need to find a provider that allows me to repay and not charge me for the privileged. Credit fine on the roll and will be working for at least the next 20ys thanks to the pensions!!0
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Sounds like it will be easy enough to arrange.
If you do not need to borrow 25k but are forced to, look for a product with no penalties for making overpayments. That way you can complete the works and repay what is left over.I am a Mortgage AdviserYou should note that this site doesn't check my status as a mortgage adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice.0 -
Consider offset mortgage as that way you can draw the money out of the offset account as and when you need it( to pay for work done/ materials used) and have the extra £5K in case of overspend0
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You really want a fee free deal and first direct have some of the best offset deals
Only my opinion NOT ADVICE good luck0
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