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Is this right for taking out additional borrowing against house?
FIRSTTIMER
Posts: 637 Forumite
A friend has said I should re-mortgage on the LTV I have 70% 5 Yr Fix then take out the additional borrowing for home improvements.
The 70% will be a lower rate and the additional borrowing will be a higher rate RATHER than doing it all at 80% LTV and the higher rate....is this correct and doable?
The 70% will be a lower rate and the additional borrowing will be a higher rate RATHER than doing it all at 80% LTV and the higher rate....is this correct and doable?
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Comments
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Without knowing any of the numbers, it's very difficult to give you advice on overall cost.Current Debt (excluding mortgage) - £7,020
Reducing £450/ month.0 -
As long as you are happy to wait six months between the remortgage and the further advance, it may be right, yes.
You would need to compare the different rates to see the overall impact.I am a mortgage broker. You should note that this site doesn't check my status as a Mortgage Adviser, so you need to take my word for it. This signature is here as I follow MSE's Mortgage Adviser Code of Conduct. Any posts on here are for information and discussion purposes only and shouldn't be seen as financial advice. Please do not send PMs asking for one-to-one-advice, or representation.0
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