If your home has increased in value since you bought it, you could borrow a further advance from your mortgage lender. There are reasons why this might be a good idea, but you should find out what it could mean for your repayments.
How can we help?
We can take you through the process with ease and finding us was the first step, next is understanding more about the process.
Our job is to help you understand the process and to secure the right mortgage for your situation. As mortgage advisors, we have access to exclusive deals and we will do a mortgage comparison to determine the most appropriate option for you.
The team will guide you and be with you every step of the way, by handling the whole process from application right through to completion.
What is a further advance mortgage
A further advance is when you increase borrowing from your current mortgage lender, typically at a different rate than your main mortgage.
Why apply for a Further Advance Mortgage?
There could be a number of reasons to opt for this type of mortgage but typically they are best suited if your lender’s further advance is competitive and you don’t wish to remortgage or switch to another lender. They generally also have a lower interest rate than taking out a personal loan.
Would I be eligible for a Further Advance Mortgage?
Lenders will have different criteria for authorising such a loan, and it is usually based on the purpose for increasing your borrowing.
The funds raised could be used to buy a new car, pay for a family event such as a wedding or funeral or to put a deposit on another property.
Financial help for a family member
The funds raised could be used to fund certain gifts or provide financial support such as enabling a family member to get on the property ladder.
The funds raised could be used for paying off other debts such as personal loans or credit cards, streamlining payments and saving on interest.
The funds raised could be used for much-needed home improvements and maintenance including property extensions.
The Steps to further advance solutions
A further advance means borrowing more money from your existing mortgage lender. Taking out a further advance is often used towards home improvements or for a deposit towards a second property purchase.
Get advice from us
We will look at your financial situation, learn more about your budget and review your income and outgoings to see if this mortgage product is suitable to your needs.
We will handle all the necessary paperwork required, including proof of what the money will be spent on, and liaise with your lender to get you the right mortgage deal we can.
The time it takes to process your application may differ based on the lender and the paperwork required. In many cases, additional borrowing can be confirmed in around a week but this is dependent on the lender. We can try and provide you with a timeframe once we contact your lender.