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Morgage- Loan or equity release 🤔

Tees3
Tees3 Posts: 6 Forumite
Second Anniversary First Post
in Mortgages & endowments
We are morgage free but need work done our house - we don't want to move but are unsure how to fund it ? Loan, morgage  or equity release HELP !  (we are approaching our 60s) 

Comments

  • Sncjw
    Sncjw Posts: 3,547 Forumite
    Part of the Furniture 1,000 Posts Photogenic Name Dropper
    Can you not save up for the works to be done? 

    What works need doing? 
    Mortgage free wannabe 

    Actual mortgage stating amount £75,150

    Overpayment paused to pay off cc 

    Starting balance £66,565.45

    Current balance £58,108

    Cc around 8k. 

  • Tees3
    Tees3 Posts: 6 Forumite
    Second Anniversary First Post
    We have some savings however this is locked away - the cost of improvements should be about £20,000 - £25,000
  • dunstonh
    dunstonh Posts: 118,841 Forumite
    Part of the Furniture 10,000 Posts Name Dropper Combo Breaker
    If you are not yet in your 60s, the equity release options are going to be more limiting.  Plus, if you don't have much in savings at this point, you would be potentially blowing your option of last resort before retiring.    
    I am an Independent Financial Adviser (IFA). The comments I make are just my opinion and are for discussion purposes only. They are not financial advice and you should not treat them as such. If you feel an area discussed may be relevant to you, then please seek advice from an Independent Financial Adviser local to you.
  • MWT
    MWT Posts: 9,739 Forumite
    Fifth Anniversary 1,000 Posts Name Dropper
    edited 6 March 2023 at 9:34PM
    Tees3 said:
    We are morgage free but need work done our house - we don't want to move but are unsure how to fund it ? Loan, morgage  or equity release HELP !  (we are approaching our 60s) 
    I would take equity release off the list, and see if you can fund this in one of the other ways.
    At your age I would hope you both have some years of earning potential still ahead of you so more traditional loans should be suitable for raising £20-25k...
  • Tees3
    Tees3 Posts: 6 Forumite
    Second Anniversary First Post
    Thankyou - managed to sort now definitely clearer of what yo steer away from. 
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