Posted on 17 March 2011 by katie bradley
I have £30,000 in my house that was my deposit. I want to release £15,000 for home improvements, can I do this rather than remortgaging as I can't afford to do that?
The easiest way for you to do this is to approach your existing Lender for a further advance. It is possible they will want to get a new valuation to make sure that your property will still offer adequate security for the increased lending and you will have to pay for this. There will also be an administration fee payable to cover the processing of your request.
If you are not in an Early Repayment charge (ERC) period then it may be worth considering remortgaging. There are plenty of deals around that offer a free valuation and free legal service. Again depending on the current value of your property you may find that the interest rate on a new mortgage is not as good as your current rate and a remortgage may not be feasible. In these circumstances it may be possible to get a secured loan from another provider and leave your existing mortgage alone.
I believe you would benefit from speaking to one of our independent mortgage advisers. Please call on 0344 346 3672 and tell the consultant the date and title of your question. They will be able to look at your situation and advise you accordingly.
Answers provided in response to Ask the experts are based on the information provided and do not constitute advice under the Financial Services & Markets Act. They reflect the personal views of the authors and do not necessarily represent the views, positions, strategies or opinions of John Charcol. All comments are made in good faith, and John Charcol will not accept liability for them.
We recommend you seek professional advice with regard to any of these topics where appropriate.