Consumers Digest

Whats my best option to get finance for home improvement?

I'm thinking of renovating my cellar in my house and am wondering what would be my best option to gain funds to do the work.My mortgage company do advances on your mortgage that you pay off over the remaining time left which in my case would be twenty years.Would it be a good idea to do this or would I be better getting a separate home improvement loan from another company.The work has been quoted at roughly 5/6 thousand pounds.Has anyone got any advice?

Public Comments

1. Do you need the space? If not, hold off. You don't want to take on additional debt at this point if you can avoid it. If you have to renovate because you really need the space, or to fix problems with the basement, then your best bet is to put your savings in a CD and get a secured loan (lowest interest rate, easiest loan to obtain now). Or get a second loan for a much shorter term than re-jiggering the mortgage for a 20-year term. That, too, will cost you less in the long run. For such a small amount, you probably shouldn't go more than 3 - 5 years.
2. Go to your mortgage company to apply a renovation loan for 6k pounds to renovate the mortgage equity charged with them. I think this is the best option.
3. Better getting a separate home improvement loan from another compeny
4. I used an independent financial advisor which I found on Financial Advisor Finder (see source below) when I needed advise on converting my garage. Be sure to check the ratings and look at the reviews and you should find someone local that can help