You love your home, but you’ve decided you just need a bit more space. Or perhaps you need an extra bedroom for your child. Rather than move house, why not consider extending your house? Turn the under-used attic into an exciting bedroom for your child, or extend your living room so you feel more comfortable. You can really make your house what you want it to be, and it’s often far easier than thinking about moving completely. Here are some tips to make the financing of the extension even easier:
Compare labourer costs
The first thing to do is work out how much it will cost to carry out the extension. It’s really worth shopping around to get the best quote, so make sure you compare a few different companies or individuals. Perhaps even consider carrying out some of the work yourself – finding yourself a cheap painting and decorating or plastering course could end up saving you a load on labourer costs, and you’d be able to reuse those skills for future projects.
Think about switching your mortgage provider
A lot of mortgages start out with special deals such as lower rates, but after between 2 and 5 years you’ll be switched to a higher standard rate. This means that if you’re currently on a higher standard rate mortgage, you could consider switching your mortgage provider, which might mean you get better rates or a lower monthly fee, leaving more excess cash to fund your extension. Be sure to look out for fees to switch, as the switch could end up costing you a lot. However, there are some fee-free mortgage providers too. If you are not sure how to go about switching your mortgage provider, it is always best to seek professional advice.
Ask your current lender
On the other hand, rather than switching your mortgage, you could see if your current lender would offer you an advance. You may get good rates if you’ve shown loyalty and always met your payments, and some mortgage providers do offer specific home improvement loans. Again, it is worth keeping in mind that there may be fees involved, so factor that in when working out the overall cost.
Take out a personal loan
If you are unable to secure a loan from your current mortgage provider, and you don’t want to go through the hassle of switching providers, you could just opt to take out a secured or unsecured loan. There are good deals out there, but the best deals will be on personal loans sourced through a broker, as brokers can go through your credit history and find the most appropriate loans for you, and sometimes offer exclusive rates.