Ulster Bank top-up (and other mortgage lender top-ups)

[nephster]

Hi all,
As our application to switch from UB to Avant has hit a snag that I don't necessarily think we can resolve in the near future, I'm wondering about top-ups both with UB (I think we might just still have time to apply) and more generally. I know that PTSB have a somewhat punitive rate compared to UB, but that's not what I'm curious about...
Specifically, what extra documentation beyond the usual financial ones are required? We are bringing together savings and trying to get new lending for a substantial refurb/retrofit, so I'm really curious just what documentation regarding home improvements are required. Detailed quotes from builders, or just details of what is planned (so, self-certification)? Does this change depending on the amount requested?
For the record, Avant allow you to self-certify during a switch for up to 20K equity release for home improvements, but the broker said they didn't have a mechanism to top-up for home improvements after drawdown, as yet.

 

[Landscape]

I made an enquiry to Ulster Bank about this a few months ago. I recall once it is a structural change/upgrade, Ulster Bank will require an Engineer or similar to sign off the progress in stages. I think if the upgrades are not structural (e.g. new tiles, kitchen presses, shower, wardrobes etc), it will not require any inspection from Ulster/Engineer.

 

[nephster]

Thanks @Landscape! So, if you are looking for funds for merely cosmetic works then you self-certify, was that the impression you got?
Frankly, the more cash we can scrape together the better, and we will need funds for cosmetic works - just not at the start
I only come up with these bright ideas during bank holiday weekends, so won't be able to ask UB myself until Tuesday.

 

[Paul F]

@nephster The deadline for applying for a mortgage topup with Ulster Bank appears to be 10th June 2022.

 

[nephster]

@nephster The deadline for applying for a mortgage topup with Ulster Bank appears to be 10th June 2022.

Thanks Paul, yes that's what I thought, so time is very much ticking. There really is very little detail available on topping-up generally to get a sense of the process, and even less specifically with UB from what I can find. Of course that won't be an issue after they leave
After I posted this originally, there was an interesting article this weekend in the IT about securing finance for renovations, which did go into a little detail about top-ups but from my perspective, it was not quite detailed enough.

 

[Paul F]

There really is very little detail available on topping-up generally to get a sense of the process, and even less specifically with UB from what I can find.

I found this thread from 2019.

I was told by UB that they will give €30k for renovations (either retrospectively or prospectively) plus €30k for anything I want.

But Ulster Bank's limits might be different now.

After I posted this originally, there was an interesting article this weekend in the IT about securing finance for renovations, which did go into a little detail about top-ups but from my perspective, it was not quite detailed enough.

This is the article you are referring to.

Home improvements: How to get cheap finance as building costs rise

Despite soaring costs, demand for refurb or retrofit remains high – but money is available

www.irishtimes.com

It's pretty comprehensive but I guess the only way to get your questions answered is to talk to UB about what they need in terms of documentation for a topup. I would be grateful if you could post what they tell you here.

 

[Monbretia]

The top up amount with UB used to be around 65k, up to that it is done as an additional secured loan that runs alongside the existing mortgage term at mortgage rates, needs no legal work and can be drawn down pretty quickly assuming the LTV is ok and income. Don't know what they look for in line of evidence of work but if only cosmetic and not structural estimates used to be enough.

Anything more than that (or whatever their limit is now) cannot be done as a fast top up and requires either an additional mortgage or a remortgage of the original one which if you have a tracker you won't be doing so it would be an additional mortgage, this is the same as having to do a new mortgage and will require legal fees etc and take much longer to draw down, obviously if there is planning involved too this will delay things. As it's a much larger amount estimates/stage payments/sign off will probably all be necessary.

Both options will require updated or extra life cover to cover the additional borrowings.

Top up product fitting the criteria for amount etc can be drawn down within days if life cover is already in place, the other route is like doing a new mortgage

 

[nephster]

Just had chat with advisor - for non-structural work can self-certify up to 30K with UB.

 

[nephster]

Just had chat with advisor - for non-structural work can self-certify up to 30K with UB.

...and funds released on the 24 June. It's a five-year fixed term at 2.2%, for the same length as my main mortgage.
So all told, took about 10 weeks from first enquiry via a webform to funds in my account. Two weeks of that was waiting on the mortgage protection insurer to confirm an increased policy was in place so we could go into an UB branch and get the assignment witnessed. Effectively, we had to supply all the same type of documentation that was needed for the original mortgage, but without a solicitor being involved.
The most challenging doc to get was proof of Prize Bonds savings. The PDF that the Prize Bonds website generates doesn't have a letterhead, so they wouldn't accept that; and individual images of the bonds themselves crashed the application when UB tried to add them to our dossier so they had to delete them. UB eventually accepted a screenshot from my account.