Funding an Extension

ben0101

Hi all. We have a property and have 50% equity in it. Only 1 year into a 25 year mortgage paying the other 50%. We want to extend and need about £50k to fund it. Would the best option be to remortgage and borrow the 50k against the house? Given we have 50% of equity in it, this makes the most sense to me and I can’t see banks saying no. Then again Im new to all this.

Anyone in the same shoes?

Thanks in advance.

foxy-stoat

Speak to your lender and see if you pass the affordability - assuming you have a couple of quotes for the work so you only need to borrow what you need.

enthusiasticsaver

Depends on the size of your existing mortgage and your income and existing commitments. It is not all about the equity.