Are Mortgages Available for Home Improvements?

Summer isn’t over yet! If you’re planning to renovate, extend, or upgrade your property, you may be wondering if your mortgage can help cover the cost. The answer is yes! There are several ways to use your mortgage to finance home improvements in the UK.

Here’s what you need to know.

Option 1: Remortgaging to Raise Funds

One of the most common ways to fund home improvements is by remortgaging. This means switching your current mortgage to a new deal, often with a different lender, and borrowing more in the process.

You can release equity (the difference between your property’s value and what you owe) to fund improvements such as:

• • Extensions or loft conversions

• • New kitchens or bathrooms

• • Energy efficiency upgrades

Things to consider:

Early repayment charges may apply on your current mortgage

You’ll need to go through affordability checks

The new deal must make financial sense

Option 2: Further Advance from Your Existing Lender

A further advance is when you borrow more from your current lender without switching deals entirely. It can be a simpler process than remortgaging.

Pros:

• • Usually quicker than remortgaging

• • Keeps your main mortgage intact

Cons:

Still subject to lender checks and approval

The extra amount might come with a different (often higher) interest rate

Option 3: Second Charge Mortgage

This is a separate mortgage secured against your property, alongside your main mortgage. It can be useful if:

• • You’re tied into a good mortgage deal you don’t want to lose

• • Your current lender won’t approve further borrowing

Second charge loans often come with higher interest rates and fees, so they should be considered carefully.

What Can You Use the Funds For?

Lenders usually approve additional borrowing for:

• • Property extensions

• • Structural repairs

• • Eco upgrades (e.g. solar panels, insulation)

• • Internal renovations

Always be clear about the purpose when applying, your advisor can help present your case.

Tips Before You Borrow

✅ Speak to a mortgage advisor to understand your best route

✅ Get quotes for your renovation work

✅ Consider how it affects your home’s value

✅ Check for planning permission or building regulations if needed

How Windsor Hill Mortgages Can Help

Whether you’re renovating to add value or improve your living space, we’ll help you explore the right mortgage options. From remortgaging to further advances, we make sure it works for your finances and your future.

📞 Call us on 01225 962456
📧 Email us at enquiries@windsorhillmortgages.co.uk