finance for house extension

T

TRipley

Registered User
Messages
76
Hi all,

what are the criteria for getting mortgage approval for a house extension?

Is it the same process as for releasing equity - i.e. bank will approve some multiple eg. 50% of the current equity in the property.

Or, are other criteria applied as might be the case for getting a personal loan?

thanks,
 
Am in the process of doing same at the moment. It's pretty much the same as applying again for a new mortgage, you need all the documentation as you did the first time. My original mortgage is with PTSB who allow you a max combined mortgage of 85% of the final value of the house.
 
thanks beetroot, is the cost of the extension added in its entirity to the current valuation to generate the new valuation for the final value of the house?
 
Yes, so it's calculated as
(outstanding mortgage + top up) / final valuation incl extension
and in the case of PTSB this number has to be under 85%
 
You must log in or register to reply here.
Back
Top