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Re-mortgaging to include house builder loan?
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C-BeeBumbleBee
Posts: 15 Forumite
Hi everyone,
After many years of being a 'reader' on these forums, I have finally taken the plunge and decided to post my first thread so please be kind
Ok, so allow me to explain a little.
Three years ago we bought a brand new home with a 20% loan from the house builder. That is, 20% of the value of the house.
The loan is interest free for 10 years and then the APR is around 17%. We have not yet paid any of the loan off.
Since buying the house I have become very ill and much more disabled and we are going to have to make changes to the property in order for our family to live in it with better ease.
However, because of the changes we are making this will then add value to the property thus making the 20% loan cost go up...
Obviously we need to make these changes and so not doing them is not an option. However, we are considering leaving the loan as it is as we simply cannot afford to pay any of it off right now and once the 10 years 0% are up, re-mortgaging the house and adding it to that?
I would really appreciate some advice as to whether this is the best course of action to take or if there could be a different option for us.
Many thanks for reading
After many years of being a 'reader' on these forums, I have finally taken the plunge and decided to post my first thread so please be kind
Ok, so allow me to explain a little.
Three years ago we bought a brand new home with a 20% loan from the house builder. That is, 20% of the value of the house.
The loan is interest free for 10 years and then the APR is around 17%. We have not yet paid any of the loan off.
Since buying the house I have become very ill and much more disabled and we are going to have to make changes to the property in order for our family to live in it with better ease.
However, because of the changes we are making this will then add value to the property thus making the 20% loan cost go up...
Obviously we need to make these changes and so not doing them is not an option. However, we are considering leaving the loan as it is as we simply cannot afford to pay any of it off right now and once the 10 years 0% are up, re-mortgaging the house and adding it to that?
I would really appreciate some advice as to whether this is the best course of action to take or if there could be a different option for us.
Many thanks for reading
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