If you’re thinking about making upgrades to your home, remortgaging could be one of the most accessible ways to fund your plans. For many homeowners, a remortgage for home improvements in Beverley is a practical way to unlock the value tied up in their property and put it to work improving their living space.
Rather than taking out a separate loan, you could increase your mortgage amount and use the additional funds to carry out renovations or extensions, often with better interest rates than other types of borrowing.
Understanding Remortgaging for Home Improvements
A remortgage involves moving from your current mortgage deal to a new one, which might be with the same lender or a different one entirely. When you remortgage with the intention of making home improvements, you’re usually borrowing more than your current balance to cover the costs of the work.
Typical projects funded this way include kitchen extensions, loft conversions, new bathrooms, or reconfiguring living space. If done well, these changes can add real value to your property and make your home more functional or enjoyable.
Assessing Your Eligibility
Before applying to remortgage for home improvements in Beverley, lenders will need to look at your current financial situation. They’ll want to check your credit history, income, and how much equity you have in your home.
If your property has gone up in value since you took out your mortgage, that works in your favour. The more equity you have, the lower your loan-to-value (LTV) ratio, this can help you qualify for better deals and borrow the extra amount needed for your project.
Cost-Effective Financing
One of the main benefits of choosing a remortgage over other types of borrowing is the cost. Mortgage interest rates tend to be lower than those on personal loans or credit cards. This makes a home improvement remortgage in Beverley a more affordable long-term option for many homeowners.
Increased Property Value
Upgrades like extending your kitchen, converting a loft, or modernising older rooms can make a real difference to your home’s market value. Not only can this increase your comfort day-to-day, but it might also pay off financially if you ever decide to sell. A remortgage for home improvements in Beverley could turn out to be an investment, not just an expense.
Extended Loan Term
It’s worth being aware that by borrowing more, you may be extending your mortgage term. That means you could pay more in interest over the life of the mortgage, even if your monthly payments stay manageable. A mortgage broker in Beverley like ourselves, can help you balance the cost of borrowing with your plans for the future.
Early Repayment Charges
If you’re still in a fixed-rate deal, you might face an early repayment charge (ERC) for switching your mortgage before the term ends. These charges can sometimes be offset by the benefits of the new deal, especially if the renovation adds value to your property, but it’s something to factor into your decision.
Affordability
Adding more borrowing to your mortgage means your monthly payments might increase. Lenders will check to see that you can comfortably afford the new repayments. It’s also important to consider how these higher costs fit with your own budget and other financial commitments.
Speak to a Mortgage Broker in Beverley
If you’re planning home improvements and want to explore your options, speaking with a mortgage broker can make all the difference. Our team offer remortgage advice in Beverley tailored to your goals, whether you’re modernising your home or adding space for a growing family.
We’ll help you understand your current mortgage, calculate what you could borrow, and guide you towards the best options on the market. If you’re thinking about using a remortgage for home improvements in Beverley, we’re here to help make it happen with clarity and confidence.
Date Last Edited: May 29, 2025
