Experiences of borrowing more for an extension? How do valuations work?

Dusk1983

Anyone got experience of increased borrowing / second charges to fund an extension? Lender is Santander who do seem to offer mortgage increases based on equity and a range of factors, but I’m not sure if it’s the same as a full application in terms of affordability and mainly valuation. We have added a lot of value to the property already through cosmetic improvements, would like to know these will be considered. Thanks.

k1tten

Hi, I have just completed a request to borrow more money from Santander for home improvements, and it was like a full new mortgage application where I had to submit payslips and bank statements.  I had a 60 minute call with their mortgage advisor, then it went to underwriters and is now with the mortgage centre awaiting valuation. 

To be fair it has been a really quick process but it is pretty much a full new application with affordability and valuation.  Valuation can be desktop or in person, but it's their decision.  They did tell me the approximate value of my property at the application stage, i was never asked for it.

Dusk1983

k1tten said:

Hi, I have just completed a request to borrow more money from Santander for home improvements, and it was like a full new mortgage application where I had to submit payslips and bank statements.  I had a 60 minute call with their mortgage advisor, then it went to underwriters and is now with the mortgage centre awaiting valuation. 

To be fair it has been a really quick process but it is pretty much a full new application with affordability and valuation.  Valuation can be desktop or in person, but it's their decision.  They did tell me the approximate value of my property at the application stage, i was never asked for it.

Thanks a lot! This is exactly what I was looking for, and the same lender too. I suppose the question about valuation is the same as with a normal application then, in that if it’s done remotely, then internal improvements won’t be seen. With the market basically flat, we really would need our improvements to be considered, but there’s no guarantee.

k1tten

They did mine remotely - but having said that i'm borrowing nowhere near the desktop valuation of the house.  

The whole process was so much quicker than i expected, I inquired on 17th Jan, sent everything on the 19th, and it was approved on 26th so just over a week from applying to approval... still waiting for the postman to deliver the offer though!!