For most people, borrowing against the current value of the house to do an extension, or borrowing against the final value of the finished house if building new, is the usual way of financing a building project.
So, the first thing you will need is a valuation before you speak to a bank or mortgage lender. On the other hand, letting the financial institution know how much you’re looking to spend may save you the time and money of getting the valuation if your financial situation is tenuous.
- You will know what you can afford. Inevitably, in looking at beautiful homes in home magazines you will gather exciting ideas.
- The reality is that many of these homes have costs many hundreds of thousands of dollars to build - budgets outside of the reach of many of us.
- Compromise is a fundamental requirement.The good news, however, is that many of the design ‘looks’ can be achieved within more limited budgets by building smaller or using alternative materials.
- We've put together a Budget Tracking page for you to keep on top of things.