Extension questions...
Discussion
I'm going to extend my house and having never undertaken an extension before, have a few questions…
1. Is it advisable to let the mortgage lender know and what input do they normally have? Will they just ensure that I insure the work and get planning/BCo approval or will they want to get sight of the plans?
2. Planning, Building control will have their inputs, but will I need some sort of warranty for when I sell the house to cover the work done? New homes typically have cover under policies like the NHBC warranty to be mortgagable. Does the same apply to extensions?
3. On mortgages with an early redemption fee, do the lenders chanrge this for remortgaging after improvement works or would I typically just pay for a new valuation?
1. Is it advisable to let the mortgage lender know and what input do they normally have? Will they just ensure that I insure the work and get planning/BCo approval or will they want to get sight of the plans?
2. Planning, Building control will have their inputs, but will I need some sort of warranty for when I sell the house to cover the work done? New homes typically have cover under policies like the NHBC warranty to be mortgagable. Does the same apply to extensions?
3. On mortgages with an early redemption fee, do the lenders chanrge this for remortgaging after improvement works or would I typically just pay for a new valuation?
Edited by Sarah_W on Monday 12th April 15:20
Sarah
It is worth contacting your Buildings Insurance people and mortgage provider, just to be on the safe side. Mostly the Buildings insurance will be interested, but shouldn't be interested in the detail, just the outline.
re: Warranty - you need to speak to the individual builder concerned. There are schemes around which some adhere to, but others don't. I would recommend getting the plans drawn up and ensuring that the builder follows these, especially for items such as insulation.
re: Mortgage - you may well be able to start a new smaller mortgage and run this alongside your existing mortgage - I had (and still) have to main components to my mortgage - they run in-line with each other now, but at the time had different start dates. Talk to them about it.
Whereabouts in Surrey are you based?
It is worth contacting your Buildings Insurance people and mortgage provider, just to be on the safe side. Mostly the Buildings insurance will be interested, but shouldn't be interested in the detail, just the outline.
re: Warranty - you need to speak to the individual builder concerned. There are schemes around which some adhere to, but others don't. I would recommend getting the plans drawn up and ensuring that the builder follows these, especially for items such as insulation.
re: Mortgage - you may well be able to start a new smaller mortgage and run this alongside your existing mortgage - I had (and still) have to main components to my mortgage - they run in-line with each other now, but at the time had different start dates. Talk to them about it.
Whereabouts in Surrey are you based?
eps said:
Sarah
It is worth contacting your Buildings Insurance people and mortgage provider, just to be on the safe side. Mostly the Buildings insurance will be interested, but shouldn't be interested in the detail, just the outline.
re: Warranty - you need to speak to the individual builder concerned. There are schemes around which some adhere to, but others don't. I would recommend getting the plans drawn up and ensuring that the builder follows these, especially for items such as insulation.
re: Mortgage - you may well be able to start a new smaller mortgage and run this alongside your existing mortgage - I had (and still) have to main components to my mortgage - they run in-line with each other now, but at the time had different start dates. Talk to them about it.
Whereabouts in Surrey are you based?
Hi,It is worth contacting your Buildings Insurance people and mortgage provider, just to be on the safe side. Mostly the Buildings insurance will be interested, but shouldn't be interested in the detail, just the outline.
re: Warranty - you need to speak to the individual builder concerned. There are schemes around which some adhere to, but others don't. I would recommend getting the plans drawn up and ensuring that the builder follows these, especially for items such as insulation.
re: Mortgage - you may well be able to start a new smaller mortgage and run this alongside your existing mortgage - I had (and still) have to main components to my mortgage - they run in-line with each other now, but at the time had different start dates. Talk to them about it.
Whereabouts in Surrey are you based?
Many thanks for your reply.
Did you find your buildings insurance went up much to cover the increased risks (fire, subsidence etc)?
I'll have a chat to the mortgage company. I wasn't sure if telling them would lead me down a route where I had to produce architexts drawings and insurance against the risk of damage to the existing property etc.
I'm in Guildford, so it'll be a very plot size limited extension, but should be feasible over 2 floors (just about!)
Sarah_W said:
3. On mortgages with an early redemption fee, do the lenders chanrge this for remortgaging after improvement works or would I typically just pay for a new valuation?
Normally they will "port" the existing mortgage (including any attractive fixed / capped rates) onto a new agreement and top up the balance at whatever current rate you go for. I've done this a couple of times. Sometimes there is a fee to pay - usually it works out worthwhile to do that rather than take the slightly higher rate without a fee. Gassing Station | Homes, Gardens and DIY | Top of Page | What's New | My Stuff