Impact of Brexit

[woollysocksaresexy]

We have been planning a brand new kitchen and extension for a while, and have been planning to extend our mortgage to help pay for this. Our current kitchen is small, dark and grotty and our plans would completely transform it. We are now however getting cold feet amid the horror that is brexit and its potential impact. Should we just crack on? Am I worrying about nothing? Aaaaaaarrrrgh! I just sooooooo want my beautiful kitchen but terrified of a financial disaster

Ohhh I'm following to see what people say as I too am thinking about an extension

I think I would crack on. What's to say that a deal of some sort does happen, the pound surges, and people start charging higher rates because business is booming since the uncertainty is gone? If brexit goes south, you'll be stuck in the house anyways for at least another 5 years so you might as well make it enjoyable. Also if Brexit goes south, the pound will get worse, inflation will occur (because it takes more pounds to buy the same thing) and it will cost more to do an extension. Brexit or no brexit, I don't see houses turning around long term because we are going through a few changes globally that didn't exist in the same way a decade ago because of recent tech and international finance.

We are in this position. We had our finances approved earlier in the year, then start dates were put back due to delays on the job before our build started. This caused our deal to expire and we’ve just debated it all over again! We came to the same conclusion though and are going for it. We determined how long we thought we’d be in the house for- it’s long term so essentially feel we could weather the storm. In theory if the worse were to happen then interest rates are unlikely to rise like they’re projected to now - so great for mortgage, not great for savings. If you think your job isn’t Brexit risky and you’re not intending to move/sell then it’s down to affordability. I think. Arggghhh! Who knows. Bring on the People’s vote!

I would definitely crack on too. I'm about to order a German kitchen along with German appliances (Neff, Bosch etc). The kitchen supplier told me their prices have risen by 10% since Brexit was announced and will probably rise even further next year.

I’d ask two questions: How much are you planning to spend as a % of the value of the house? How long are you planning to be in the house for?

I would crack on, if the funds were accessible. Major work done, for us, but we're making big furniture purchases, now, even before rooms are ready. We'll need it sooner or later so have opted for sooner.

And, yes, only extend for a long term home, not for one you see yourselves moving in from, in a few years.