Borrowing more on top of existing mortgage

jchannon

We have a mortgage with Nationwide and want to do some building work so are looking at adding more to our mortgage.

I have an agreement in principle for the amount we want to borrow via their website but it seems to be showing that I have to take a new mortgage for the amount not just add the amount to our existing mortgage. This would mean 2 mortgages.

Is that correct? Can I not just add the amount onto the existing mortgage?

Thanks

Thrugelmir

You'll have two sub accounts i.e. 2 loans. The term mortgage actually relates to the legal charge placed on the property to secure the debt.

jchannon

Yes so I have to keep track of when the terms of initial rates end etc twice!?

Thrugelmir

jchannon wrote: »

Yes so I have to keep track of when the terms of initial rates end etc twice!?

Correct. Though when both accounts have no restriction (such as being on the SVR) it is is possible to combine into a new single product.

jchannon

I assume that would mean taking out a new mortgage in the scenario of making 2 go into 1 though?