What sort of loan?

YorkieBoys

Hi, and thanks in advance for any help I can get.


I currently have a home with a mortgage, plus an overdraft and a full time job but no spare income. I've inherited a house but it needs a few thousand pounds worth of activity to get it in a saleable state. I'd like to borrow perhaps £2k or £3k, put it on the market and then repay the loan once sold, plus reduce some of my existing debts. I'd ideally like a loan where the lender takes into account that I am going to have a lot of capital to repay it, but no cash to repay instalments until the sale.


I'm feeling a bit overwhelmed by the array of products on the market, but not sure of the sort of thing which would suit me. Can anyone give me a starter for ten?

DCFC79

So you have no spare income, what would you do if there was an urgent need to get something replaced eg a boiler, kitchen white goods.

I don't know of a small amount loan that wouldnt require any payments to be made u til the house sale.

Maybe speaking in person to your bank would be better than speaking via phone.

ViolaLass

Sell the house for £2-3k less.

parksajj

You could always keep the 2nd property, mortgage it on a BTL and use the equity to repay your unsecured debts and possibly lower the LTV on your personal mortgage?

Pixie5740

Unless the house is uninhabitable (no roof, no bathroom, no kitchen, etc) just sell it in it's current state. It's unlikely that 1) you'll find a lender who won't want a repayment between now and the property has sold, 2) that it will be worth your the time and effort spending the £2k to £3k.

19lottie82

No one is going to give you a loan that you can repay on an indefinite date in the future. If you are set on borrowing then I'd recommend considering a 0% / low apr credit card, and you can make minimum payments until you're in a position to increase them. However, there's no guarantee you will be offered the amount you need.

As others have advised, it's prob not worth borrowing to do work to your house with the idea of getting more money for it. This is a gamble and may not pay off. Just do what you can with the little money you have, then sell the house how it is and take the hit.

27col

Virtually all houses will sell. Regardless of their condition. Many people are looking for a "doer upper".
Sell it for what you can get and avoid a great deal of hassle.

WellKnownSid

27col wrote: »

Virtually all houses will sell. Regardless of their condition. Many people are looking for a "doer upper".
Sell it for what you can get and avoid a great deal of hassle.

This.

Plenty of people spend good money replacing the kitchen and bathroom to sell a house. Then when the new owners move in, the first thing they do... is replace the kitchen and bathroom...

In many ways, this makes a doer upper an easier transaction...

GaleSF63

If the house only needs £2-£3k spent on it to make it "saleable", it isn't going to make a great deal of difference so it is already saleable.

Selling as it is now will be quicker and save an awful lot of bother.

Get on to the agents tomorrow!