There really has never been a better time to extend your home…
Interest rates recently touched 0.25 %, A record low and a relative surprise for many.
Extending your home can be a daunting prospect for most. Where do you start? Who do you talk to first? For many it may be a case of maybe moving is easier…..
There is a host of professional advice you can get free of charge that is worth considering before you decide if a home extension is something to explore. There are 2 that are extremely useful.
Most Architects will offer a free initial consultation and the good ones will be creative in terms of what is achievable with your existing home as well as informative in terms of what costs you might need to allow for if you were to go ahead.
An independent mortgage advisor will meet with you and explain how it might be possible to finance a project, the different options and how borrowing more money can cost you less than you think.
Managing Director of Tinto, Richard Tinto says, we like to think that the offer of spending an hour or so with a prospective client is a good investment of our time. Explaining how a home renovation or extension project works, how much it costs and how much time things take as well as any other costs and factors that need to be considered is something we enjoy. Our business is focused on people so spending time with different clients is a fun and enjoyable experience for us. Giving potential clients clear concise advice however they wish to proceed is something we take seriously and are very proud of.
Phil Anderson from Phil Anderson Financial Services has some insightful information on the current mortgage Market
“5 years ago the interest rates were much higher. If the rate on a deal now was 1.99% the equivalent 5 years ago would have been around 3.99%. It's amazing how much the banks have taken rates down since the Bank of England rate was reduced. On a £100,000 repayment mortgage over 25 years this would make it over £100 per month cheaper to borrow money now than 5 years ago”.
“There has never been a better time to consider a further advance or re-mortgage. With the Bank of England base rate recently being reduced this has seen mortgage deals become available at record low interest rates. We have seen a spike in re-mortgaging and additional borrowings recently and I have even seen some cases where clients have borrowed more and seen their payments reduce overall as we have been able to get them a much better interest rate on their mortgage. As well as re-mortgaging and further advances we also consider secured loans for clients. Time wise it usually takes around 4-5 weeks to get the funds however in urgent cases I have seen things turned around quicker.”
If you have felt overwhelmed by the thought of major home improvements why not talk to the professionals in the first instance to give you some comfort that it is something that might be right for you. They should be able to provide enough information for you to make an informed decision and regardless if you do it or not you will at least feel like you have considered the process without dismissing it as too daunting or confusing to even begin to consider…