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Self Build Mortgage / Bridging Loan
pezza72
Posts: 2 Newbie
Hi,
Looking for a bit of advice...
I am looking to have an extension built. In addition, I want to try to incorporate the balloon payment of my PCP car payment in to this if I can.
When I last enquired about a re-mortgage, not only could I lend this combined amount (even though the wage element was fine), I couldn't borrow enough for just the extension. The reason being that I can only re-mortgage based on the value of what the house is worth now, not what it would be worth when the extension is complete (which would more than cover the total debt).
So, I have also been pondering over a self build and this has got me thinking if I could actually get some sort of self build mortgage or bridging loan to cover the extension on my current house (plus the settlement on my car) in a similar way to a complete new house, and then once the extension is built and I can obtain a proper estimate, then re-mortgage since the extension would be built.
Is this possible? Obviously Self Build Mortgages have higher rates and Bridging Loans probably even higher, hence the idea of then re-mortgaging once complete.
Alternatively, if this is something that is not legal/possible, could anyone advise on the best way to go about this?
Thank you
Andy
Looking for a bit of advice...
I am looking to have an extension built. In addition, I want to try to incorporate the balloon payment of my PCP car payment in to this if I can.
When I last enquired about a re-mortgage, not only could I lend this combined amount (even though the wage element was fine), I couldn't borrow enough for just the extension. The reason being that I can only re-mortgage based on the value of what the house is worth now, not what it would be worth when the extension is complete (which would more than cover the total debt).
So, I have also been pondering over a self build and this has got me thinking if I could actually get some sort of self build mortgage or bridging loan to cover the extension on my current house (plus the settlement on my car) in a similar way to a complete new house, and then once the extension is built and I can obtain a proper estimate, then re-mortgage since the extension would be built.
Is this possible? Obviously Self Build Mortgages have higher rates and Bridging Loans probably even higher, hence the idea of then re-mortgaging once complete.
Alternatively, if this is something that is not legal/possible, could anyone advise on the best way to go about this?
Thank you
Andy
0
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