Can I remortgage my house to buy a workshop?

shamilt1

Hi all. I’m happy to say that at the grand old age of 49, I’ve finally managed to pay my mortgage off...yey! Anyhow I’ve seen a nice little workshop near me that I’d like to buy....I must be missing having a mortgage! It’s selling for about a third of what my house is worth so I was thinking of remortgaging my home to buy this property. Can this be done and is this the best way? I contacted two lenders, Coventry B.S and Hanley as they had the mortgage products I wanted to go for but they both said they wouldn’t lend on my home to buy a commercial property. So now I’m confused...

foxy-stoat

Sounds like you need a commercial mortgage, speak to a broker.

Thrugelmir

Lenders may well restrictions on the purpose of an equity release. Building societies are there to provide mortgages for the purpose of buying residential property. Commercial lending isn't their market.

butterflybook

You could use the help of a broker as lenders can restrict lending depending on the reason you are raising monies - Most do not like raising money for business purposes for example

shamilt1

Just been into HBSC and talked to their mortgage guy. No problem releasing equity from my house to buy this property apparently and has agreed it in principle. Off in to do the full application next week. Happy days!