Add more to mortgage? Or other options..

newliverpudlian

Hello All,

We recently purchased a house with a 60k mortgage (20k deposit). We need a further 10k to carry out repairs to the property. I heard somewhere that this can be added to the existing mortgage on the property? Is this right? If so, is this the best solution? I have no credit card debts at the moment, just student loan and mortgage. My wife has another property, with a large portion of the mortgage paid off. Would freeing up this be a better option?

Many thanks for all your help!

Eonel

Your best option is the one with the lowest interest rate offered.

You don't indicate what the purchase price of the house was. How much equity you have in this property ( + your salary & unsecured debt ) will dictate if your bank is willing to offer you a further 10K.

You indicate that there is equity in your wife's house - this may be an easier route. But your decision should come down to which property/lender offers you the lowest rate of interest.