Almost debt free, buying house now, but need money.

GarthThomas

I'd agree with others. Go for the longer mortgage and use the monthly savings to accelerate the works.

Once you are not paying out on renovations then remortgage to a shorter period, or just start overpaying.

LabRatty

Hi,
Congratulations on getting to this point!

At the moment I would do only the work that
1. saves any problems getting worse in the short term (eg. roof repairs - to scrimp here would be a false economy).
2. makes safe anything immediately dangerous, as cheaply as possible.
3. enables you to have a basic level of comfort while you save (like debt-busting, too draconian is less sustainable).
Consider the feasibility of installing a woodburner (direct heat, cheap on 3bay) if you have a fireplace to keep you going pending a new heating system.
Also, don't worry too much. From experience, kids feel the cold much less than adults. Our house is old and a bit draughty, and watching TV under rugs is the rule rather than the exception - there is a pile of them in the corner for the purpose.
All the best for your refurbishment; the sense of achievement when you start getting thing ticked off will be huge!
LR

Unicorn_cottage

Hey there

Have you costed the works in total to make it pleasantly habitable including a contingency?

Spatton

Recently finished a major renovation project on an old property (1890s). Agree with many of the wise comments already here -


Get the major stuff structural / safety done first


Budget, budget, budget. It will cost (a lot) more than you think unless you've got the necessary skills to do a lot of it yourself - if not get quotes and ask to see examples of their work. Old buildings invariably have hidden nasties unless they have been exceptionally well maintained - and it doesn't sound as if yours has.


Plan in contingency of +20%, you'll almost certainly need it


Certain types of work will require approval from the Buildings Inspector (including any major electrical works), so might be worth checking that out too. (I know you're not going to sell, but without the certs when you eventually need to / release equity, it'll make things more difficult than they need to be).


If you want to extend the mortgage to cover the works you'll need to use their approved valuer and do a cracking job of persuading them of the future forecast value (and pay for the privilege BTW). You'll probably have to prove you've got the knowledge / experience to do it to - e.g. previous evidence of similar projects as you're now upping the financial risk to them. Also, if you go that route you'll need to stump up a bigger deposit as you'll be messing with the LTV ratio.


I've done more that one major project of this nature. They're fun and great when they're done, but they're stressful and all consuming. Plus, living in a property with significant works going on requires the patience of a saint - expect there to be arguments. This being said, it can be done, and you'll have an amazing sense of satisfaction. Given what you've achieved already I'm sure you'll be fine .

atush

I agree with most, if a longer term is possible do it.

But I would say you need to sort the electrics first, then address the heating as the first is a safety issue, and the second is not a luxury but a necessity.

What is the total estimated cost of the works? PP of the house, and mtg amount?