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Deb1
Guest
Hi, we're Sale Agreed on a house that needs a lot of work, in around the €100K mark to convert it back from three flats into one home.
We had mortgage approval on another house for about €500K and we can afford repayments at that level.
When we saw this house, we assumed that we could borrow the €400K purchase price, plus the €100K refurb cost.
Turns out that the valuerer only believes that the €100K will add approx. €50K to the value, so meaning that the bank will only give us 92% of €450K, leaving us short to do what we need/ want to do.
Apart from tapping friends and family, what other options might we have? Does anyone have a Home Imprpvemt Loan on top of a mortgage, especially with both taken out close together? We have approx. €75K in savings, but that will mostly be used in for Stamp duty and the deposit and legal fees...
Also, if anyone has borrowed for renovation recently, how detailed was the bank - did they ask fro receipts, did they release the funds in stages, did they ask for engineers reports, etc?
Thanks!
We had mortgage approval on another house for about €500K and we can afford repayments at that level.
When we saw this house, we assumed that we could borrow the €400K purchase price, plus the €100K refurb cost.
Turns out that the valuerer only believes that the €100K will add approx. €50K to the value, so meaning that the bank will only give us 92% of €450K, leaving us short to do what we need/ want to do.
Apart from tapping friends and family, what other options might we have? Does anyone have a Home Imprpvemt Loan on top of a mortgage, especially with both taken out close together? We have approx. €75K in savings, but that will mostly be used in for Stamp duty and the deposit and legal fees...
Also, if anyone has borrowed for renovation recently, how detailed was the bank - did they ask fro receipts, did they release the funds in stages, did they ask for engineers reports, etc?
Thanks!