What can I do? Cant get a loan big enough...

rob98078 · 27 February 2015 at 8:02PM

Vikipollard wrote: »

You're 23...how many kids have you got already!! Sorry, nothing to do with the topic you asked about, I guess I was just surprised.

Started working as an apprentice at 16, met my future wife at 17..things progressed quickly haha

Red-Squirrel_2 · 27 February 2015 at 9:41PM

So you have 1 child now, 1 year old?

Even if your partner were to become pregnant tomorrow, that's 9 months of pregnancy, then at least 6 months where the baby will sleep in your room (maybe longer). For a good few years after that, the younger child will only need minimal space in the bedroom for a cot or toddler bed and other essentials, most toys clothes etc. can be stored elsewhere and playing will be done in living spaces.

So, even assuming an immediate pregnancy, you've got plenty of time before you need a bigger house. Keep paying that mortgage, let the equity build up, save what you can when you can (without sacrificing enjoying life, you're 23!). A good time to re-think might be when your eldest is due to start school (if you're not already in the catchment for one you like) or when your as yet hypothetical second child really starts to grow out of the smallest room.

Vikipollard · 28 February 2015 at 7:24PM

rob98078 wrote: »

Started working as an apprentice at 16, met my future wife at 17..things progressed quickly haha

That's lovely

What about converting your loft? That would be cheaper than a full on extension. Just a thought.

Caroline_a · 2 March 2015 at 12:41PM

I would be very careful about taking your initial quote as gospel. I had an extension built on my house a few years ago. When it was finished it cost double the original quote due to several unforeseen issues. Then of course you have to decorate, carpets, curtains, etc...

Extending is an expensive business!!

enthusiasticsaver · 2 March 2015 at 12:56PM

If you are going to get an additional mortgage plus an unsecured loan for the remainder of the building cost that will substantially increase your monthly payments. Don't forget unsecured loans are still relatively high interest rates and usually over a maximum 10 years. It is a very expensive way of increasing your floor space. Personally I would leave it for a few years and wait for either the equity to increase or you to save for the improvements. You are only 23, having children is expensive as I am sure you already know and it is not a good idea to over commit at that point. Also an extension that will cost about a third of the value of the property (I assume around £160000) is quite a lot - are you sure it will increase the value by that much?