Need A Loan For £30000

dunk

Needing a loan for £30000 this is to do a house extension. We have 7 years left to run on present mortgage which is a repayment for £68000. We own a house outright that we rent out. Any advice on best option for getting the money i.e secured loan, personal loan or remortgage? Grateful for any advice.

Scousebird_2

It is unlikely that you will find a lender, prepared to offer you an unsecured loan for more then £25,000, but seeing as it's an investment on the house, you could always try secured lending, be warned that your home will be at risk if for any reason you can't meet your repayments so I would always say look at cover-but to be honest, if you can raise the cash from a re-mortgage if you have enough gain from the original capital borrowed, then you could always look at that too.

ixwood

Remortaging the house you're extending would probably be the easiest and most cost effective. Do you have tie-ins/early repayment charges?

dunk

Tied in to fixed rate with early repayment charge. Just don't know what would be financially best to do.

ixwood

Until when? What about the other house?

Mortagages, secured loan, loan, Credit crads are your options, easiest/cheapest 1st.

I'm not sure what you're expecting TBH. Mortagage would be cheaper, but theres a ERC to factor in which yo give no details of. You need some example rates and a calculator.

dunk

tied in until end of mortgage in 7 years

chambta

dunk wrote: »

Needing a loan for £30000 this is to do a house extension. We have 7 years left to run on present mortgage which is a repayment for £68000. We own a house outright that we rent out. Any advice on best option for getting the money i.e secured loan, personal loan or remortgage? Grateful for any advice.

Most lenders would offer you a BTL mortgage on the house you own outright subject to rental income being sufficient. The bank I work for would do this entirely fees free also. Some lenders may restrict what you do with the money so if you go down that route tell them it's for improvements to that property.