Borrowing Extra on a Mortgage for Renovating

[Deleted User]

Hi all,

My partner and I have a question regarding borrowing extra cash in a mortgage to aid in renovating a house that we're in interested in (it is regarded as habitable). It has been suggested to us that we can obtain a mortgage in principle for the value the house is on the market for and if the vendors accept a lower offer the difference will be provided as a cash sum by the lender at the end of the transaction (providing they value the house at the original price the vendor was selling it for). Our question is whether or not this information is correct?

Does anyone have any other suggestions on how to borrow more to aid in renovation?

[Deleted User]

You can do renovation mortgages through specialist mortgages. They can lend on the final value of the property and release funds for work as you go through stage release.

A normal mortgage will always be for a percentage of the purchase price or valuation (whichever is lower) so that won't work to give you extra funds

What kind of numbers are you trying to achieve for purchase price, cost of work, and final value?