craig12 Posted February 10, 2013 Share Posted February 10, 2013 hi there, looking at a kitchen /french doors/combi boiler/ window blocked up/project and maybe around the £13k mark if not more, do people still take advances out on mortgages on these types of projects or personal loans, i dare say we could pay out of our savings , it s just a massive chunk gone out of the isa/ monthly i think its about £100 on the mortgage or £300 on a 5 yr personal loan any clues on the best route regards craig Link to comment Share on other sites More sharing options...
MrSmith Posted February 10, 2013 Share Posted February 10, 2013 I imagine you get less interest on your ISA savings than you will pay on a loan. When the interest on debt exceeds the interest on saving it is sensible to pay down your debt by reducing your savings, just leave yourself enough for a rainy day Link to comment Share on other sites More sharing options...
GrannyGranny Posted February 11, 2013 Share Posted February 11, 2013 Pay it out of your saving and pay the £300 a month back into it if your allowance allows it. Or increase your mortgage and then overpay it £300 for a period. Link to comment Share on other sites More sharing options...
geared Posted February 11, 2013 Share Posted February 11, 2013 You're talking about taking out a mortgage for more than the value of the property right, then using the extra to fix it up? What are your circumstances? I think the mortgage terms are abit stricter now and they're less likely to make this sort of lend. They want nice safe loans with plenty of deposit these days. Link to comment Share on other sites More sharing options...
GrannyGranny Posted February 11, 2013 Share Posted February 11, 2013 The way I read it is the OP wants to remortgage to pay for improvements on the property he owns. As long as there's a decent amount of equity they should be ok. Link to comment Share on other sites More sharing options...
truman Posted February 11, 2013 Share Posted February 11, 2013 You're talking about taking out a mortgage for more than the value of the property right, then using the extra to fix it up? . I'm not sure the OP said that... I read it as they just wanted an advance/remortgage to reinvest in home improvements.. Link to comment Share on other sites More sharing options...
geared Posted February 11, 2013 Share Posted February 11, 2013 I'm not sure what he said either, hence the question. Link to comment Share on other sites More sharing options...
vwkittie Posted February 11, 2013 Share Posted February 11, 2013 Would the interest you'd pay out on taking a loan/mortgage be more or less than the amount you'd earn on your ISA savings if you left the money there? If you'd end up paying more out in interest, then it would surely make sense to use your savings? Plus should anything dire happen like lose your job you're not stuck with a loan you can't pay for? Link to comment Share on other sites More sharing options...
Recommended Posts
Archived
This topic is now archived and is closed to further replies.