We want to buy a property to renovate & sell, our current lender wont help. Are all lenders the same?
Posted on 24 September 2014 by Jenny
My husband and I would like to buy another property to renovate and sell on, he is a joiner so will be carrying out a lot of the work and I will be project managing. The problem is we were hoping to release some equity from our house to fund the project and I found out when I phoned Nationwide that they won't lend money if it's for another property. Is this the case with all mortgage lenders? I was thinking perhaps we could switch? Can you advise us as we really don't know where to turn now? Jenny.
The short answer is that 'no, not all lenders are like that'. There are a couple of options that we could look at from, remortgaging you away from Nationwide, to doing a second charge to raise funds, to arranging development finance on the one you're looking to buy.
A lot will depend on your overall financial situation, and also whether your husbands income would be affected by doing the work himself?
I think it would be worth exploring your options in a bit more detail, and you can do this by contacting one of our consultants on 0344 346 3672 and they'll be able to give you a better idea of what we can do to help you.
More than mortgages, talk to me about: Financial Protection | Investments | Personal and Corporate Pensions | Home Insurance General Insurance | Valuations | Conveyancing | Wills | Home finders
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.
YOUR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY DEBT SECURED ON IT.
John Charcol is a trading name of John Charcol Limited and its Appointed Representatives. John Charcol Limited is authorised and regulated by the Financial Conduct Authority. The Financial Services Register number is 665649. Registered in England No. 9157892. Registered office address for John Charcol Limited is 5th Floor, Cutlers Exchange, 123 Houndsditch, London, EC3A 7BU. The FCA does not regulate some investment mortgage contracts. Calls may be recorded for training and monitoring.