FTB - Buying a property that needs renovation

tim123456789

andrewmp wrote: »

If it was worth £80-£90k in it's current state, they wouldn't be selling it to you for £59k.

OTOH, if it's 130k done up, it wouldn't be a quick make over either

tim

tim123456789

dimbo61 wrote: »

Complete rewire costs anything from £2500 to £4000 for normal 2/3 bed semi.
£4,000 for new central heating, £5,000 for double glazing all fitted by tradesmen qualified to do the work

Not in HUTH-land

tim

haf1

The mortgage company (halifax) has said I can have the funds with a 20% deposit.

Have you tried to speak to a broker to get a more favourable mortgage offer? Even with the house being a probate sale, there should be better deals out there.

I can afford the deposit but that would leave me with no money to complete the basic renovation.

Unless you find another way to raise the money - higher LTV mortgage, loan as stated above, saving for renovations while living in the house "as is" then the project is not for you.

Would £6000 be enough to do the renovation - e.g. does the house have central heating, need a re-wire, or just cosmetic updates? Do keep in mind that renovations generally end up costing a LOT more than you had originally planned. Without a financial buffer you might be in for some very hard times. Are you planning to live in the house while you renovate it - is the place at all liveable for now, or will you be paying rent somewhere else in the meantime? Releasing equity will not be an option until after the refurbishment, as said above.

armchaireconomist

To answer your question, no. The lender will never agree to it.


To query your situation, you earn 48k a year but you can't afford to renovate a house barely more than your annual earnings? You're doing something wrong.

ianrigarlsford

Hi EFC500


As mentioned earlier in the thread, at Ecology Building Society we do provide mortgages for renovations.


For more details check out our website (sorry I can't post a link as I'm a new user!) or call 01535 650 770.


Regards

Ian

csgohan4

ianrigarlsford wrote: »

Hi EFC500


As mentioned earlier in the thread, at Ecology Building Society we do provide mortgages for renovations.


For more details check out our website (sorry I can't post a link as I'm a new user!) or call 01535 650 770.


Regards

Ian

Have you got permission to post as your advertising for your company? You need to have the right signature?

For readers, make sure due diligence is applied and ensure the mortgage product is correct for you, the above could be much higher interest rates, how else can they make money