Home improvement loan

[tunnocksweesnake]

Also posted this in Money Matters as wasn't sure which was best.

If I were to use most of my savings and equity as deposit on my next home, how soon would I likely be able to get a loan to do home renovations?

If I buy a do-er upper, and put down 25% deposit, my mortgage could well be less than it is now.

But I'd then need to borrow around 15k for the refurb. Paying that back over 4 years would still be less than a bigger mortgage on a ready to go home.

But would I be able to do this much borrowing all at the same time - the new mortgage from a lender and the refurb loan from my credit union?

Thanks

Bumping

Yes you can do it but not at the same time otherwise your mortgage could get expensive. Get the mortgage first, fix it, and then after you have made 6 payments apply for the extra as a homeowner loan. That way only the extra you borrow incurs the higher LTV charge.