Borrowing more to fund a conservatory?

Noctu

We've never borrowed more on a mortgage (other than to move house) and not sure how it all works... we'd be very grateful for any advice.

Moved in December 2014 to a new build, purchase price £250k. £212k mortgage with Nationwide (85% LTV which was the max they would lend on a new build), rest equity/cash.

Currently we have £208k remaining on the mortgage, after 7 months of payments.

I'd really like to put a conservatory on the house this time next year. I'm guessing the best way to fund this (being as we don't have the savings) is to borrow more on the mortgage - I'm thinking we'd need at least £10k.

From my calculations I think that at this time next year the mortgage balance would be approx £200k.

Could we just ask Nationwide to extend our mortgage by £10k (again keeping it under the 85% LTV)? Assuming nothing has changed with our jobs, we still fulfill the lending criteria etc...

What would Nationwide actually require? Would we have to get the house re-valued? Do we have to go through the whole mortgage process again and would it be another mortgage product or just an extension to the 3yr tracker we currently have?

Many thanks for any insight... and hope this made sense :rotfl:

amnblog

You can:


Asked Nationwide for the extra
Borrow the extra from another lender
Re-mortgage the lot and borrow the extra from another lender


All things are possible subject to status.

Noctu

amnblog wrote: »

You can:


Asked Nationwide for the extra
Borrow the extra from another lender
Re-mortgage the lot and borrow the extra from another lender


All things are possible subject to status.

Thanks. I think we'd stay with Nationwide as part of our mortgage (ported) is on the BMR and they're fine with my 4 year fixed term employment contract (uni research - I'm 10 months into the contract).

If we stuck with them, and just asked to borrow more, do you know what they tend to ask you to do? Would we have to re-negotiate the product we took to move house (3yr tracker) from scratch?

Many thanks for your insight...

Noctu

Bump..............

Contemptuous

Additional borrowing is a usually a separate (more expensive, rate-wise) set of products, so your existing mortgage wouldn't be affected. Have you had a look on their website?

Noctu

Contemptuous wrote: »

Additional borrowing is a usually a separate (more expensive, rate-wise) set of products, so your existing mortgage wouldn't be affected. Have you had a look on their website?

Thanks. Yes I did but it didn't reveal much to be honest, unless I'm looking in the wrong bit!