Increasing your mortgage
An increased mortgage may be an option for renovations or other plans. Start with the purpose and total costs, then consider whether borrowing more is possible and appropriate.
Make your plans specific
A clear cost breakdown helps define the finance required. Is it for renovations, maintenance or energy-saving measures? Describe what you want to do, when, and the quotations or estimates involved. Allow for setbacks. The purpose of the spending may affect the terms and assessment; different plans should therefore not automatically be included in the same calculation.
Want to know what home equity means for an additional loan? Read our explanation of accessing home equity.
Also discuss renovations in relation to your home insurance.
Property value is one part of the picture
A higher property value does not automatically mean you can get an additional loan. The provider also considers your financial circumstances and the conditions for using the money. Equity is tied up in your home and is not a freely spendable balance. Accessing it through a loan increases your debt and may increase your payments.
Consider both the capacity on paper and the effect on a budget you feel comfortable with. A reserve for maintenance and unexpected expenses remains an important topic to discuss.
Additional payments and one-off costs
Increasing your mortgage may involve advice, valuation or notary fees as well as interest and repayments. Whether a new notarial deed is required depends on factors including the existing mortgage registration and the chosen arrangement. Ask for a breakdown for your own application. Additional costs can make a small extra loan work out differently from what the interest rate alone suggests.
- The additional monthly payment during and after the fixed-rate period.
- The term of the new loan part.
- One-off costs of the change.
- The effect on your financial buffer.
Energy improvements and other ways to pay
For energy-saving measures, financing options can form part of the discussion. Available schemes and conditions must be checked at the time of your application. Do not include expected savings in your budget as a guaranteed amount. Paying from your own funds, phasing the work or adjusting the plan may also be part of the decision. The appropriate choice follows from your circumstances rather than a general rule of thumb.
Also compare the term and total costs of a personal loan if another type of finance is discussed.
Review your existing loan
An overview of your current mortgage, income and plans is a good start. RFD discusses which information is needed and which services can be agreed for your question. The Mortgage service comparison card provides general information about the process and costs. Share confidential mortgage documents through the secure method agreed with us, rather than through a public website form.
This page helps you prepare for a meeting. It makes no commitment about additional borrowing capacity, tax relief, a subsidy or savings. A personal assessment and the provider's terms remain necessary.
Services and comparison documents
The service comparison document describes our financial services and the stated costs. We agree the services and costs for your enquiry with you personally.
Frequently asked questions
Can I increase my mortgage as soon as I have equity?
Equity alone is insufficient. Income, commitments, the purpose of the loan and the lender's terms are also relevant.
Also read about accessing home equity.
Do I need another valuation?
The provider determines which valuation method is accepted for the application. Discuss the information required and the associated costs.
Do I need to visit the notary again?
This may be necessary, but it varies by situation. The current mortgage registration and the chosen financing must be reviewed.
Do energy improvements always pay for themselves?
No. Actual savings depend on factors including the property, measures, energy prices and usage. Treat expected savings cautiously when making your decision.
This is general information. It is not personal financial advice, a promise of acceptance or confirmation of insurance cover. What is suitable and possible depends on your circumstances and the provider's terms. Read the disclaimer.
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What would you like to discuss?
Have a question about your mortgage, insurance or finance? We are happy to help.