financial advice?

K

Kenbo

Registered User
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Hi
House value at 450k, we are thinking of adding an extra bedroom costing approx. 28k. Mortgage with UB at only 75k and 11 years to run on Tracker rate. Also we would like to upgrade our 00 fiesta,cost around 16k for new car. Total cost is 44k. Which is best way to borrow this money? Don't want to extend mortgage unless no other option. Saving of 2k in CU and 3k in First Active.Want to get rid of mortgage in next 5 years if possible.Which is best way to proceed? Short term bank i.e. 5 years loan or C.U.?
 
use savings for car and avoid car loan if at all possible as depreciating "asset".
You could finance extra bedroom via remortgage which would add value.
 
I know this will be difficult when I say it to you because you have probably worked really hard to decrease you mortgage and would hate to see it increased. Truth is though it is the cheapest way to get the money you want i.e. best rate. What I would consider thought is if you are going to remortgage it is the perfect opportunity to consider shopping around and looking for the best rate mortgage. A word with a mortgage broker like providenc or REA could be a good idea. It costs very little and to be honest you might actually save money if you are not on the best rate mortgage at the moment.

Just my opinion
Others may not agree
 
As mortgage finance is cheaper than others, could you get a top up mortgage from existing provider (or other if cheaper) for extension and car ? Then for the first five years make an additional monthly payment of €300 (€16K @ 5% over 5 years) for the car portion.

I know you would probaly have to increase your mortgage protection, and only the amount used for the extension would be allowable for TRS.

Anyone done this ?
 
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