Funds for renovation

[Littlepig8834]

Hoping someone can help. We accepted an offer on our house and have found a house we like, however it needs a bit of work to get it up to scratch. Our first offer has been rejected, and the vendor are looking for closer to the asking price. If we offer me it leaves us with less to do the work we would need to do. How do you go about borrowing more to do renovation works? Do you ask your mortgage provider and see what they offer? Is there a cap as to how much over the asking price you could borrow?

The mortgage company will value the house and offer what they value it at, less your deposit. They won’t give you more than it’s worth but if you are paying, say, £300, 000 and have £50,000 deposit, keep some of the deposit back and borrow £270,000. If you cannot find the money, it’s not the house for you or you wait until you have the money to do all the work. You probably won’t find a mortgage lender to lend more than they think you can afford or more than the house is currently worth.