There has been an increase in the number of homeowners remortgaging their properties in order to release the money they need to make home improvements, City AM reported.
The news provider cited the latest figures from UK Finance, which revealed that remortgages with additional borrowing increased by 5.9 per cent at the end of 2019.
According to the organisation, the average additional amount borrowed was £50,702, which many homeowners were using to extend or improve their properties. If you want to add some extra space to your home, you could consider garden log cabins.
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Director of off-market property app Houso Ben Johnston commented: “Many homeowners are choosing to extend or improve what they have rather than move as they take advantage of historically low interest rates for that extra borrowing.”
Gareth Lewis, commercial director of property lender MT Finance, told the news provider that it’s much better for people to borrow the sums required for home improvements by remortgaging than it is to use more expensive credit, such as loans and credit cards.
But if you’re going to borrow money to put towards a home improvement project, it’s important that you follow through and finish what you start.
Research released earlier this year by Sainsbury’s Bank Loans found that one in ten home improvement projects that were started in the UK last year have yet to be completed, with just 56 per cent of projects completed to the initial deadline.
Author - Martin Corby
Posted - 27 Feb 2020
Disclaimer: This information is subject to change and as such, is provided for informational purposes only and does not constitute professional advice. Readers are encouraged to verify the details independently.