Top Up for Self Build

[arasain]

My wife and I secured 320k tracker mortgage from First Active to build our house. We had savings of about 50k in addition to this. The thing is that during the build we've chosen higher spec materials than was on the tender (natural slates, geothermal heating, stone facing, etc, etc) and as a result we need about 60k more to complete the build. We're about 75% complete at this stage. Our combined income is around 120k. I was wondering if anyone else has done this before I approach my bank with the request
Thanks

 

[Sarah W]

Your income is more than sufficient to cover the loan so as long as the loan to value does not exceed 90% of the combined site and build cost I can't foresee a problem. First Active allow top ups of up to €65,000 or 80% (the lower of either) with no legal fees or outlays other than a valuation.

Sarah

www.rea.ie

 

[hacker]

I know someone who had to get a top up on their self build mortgage and it took much longer than they expected to organise which really held them up ie it took months! The reason, I think, the bank wanted to know why they had under budget their build so much. So only advise is get the process started as soon as you can.

 

[KerryG]

Top ups through FA can be done as Sarah says but house would have to be complete or near enough that the valuer will sign off on it. However if the house is only 75% complete then I imagine you will have to apply for a new loan totalling the existing one plus extra needed, pay off existing and get new loan offer for which you will need to go through solicitor again.