Many homeowners faced with the need for extra living space would rather not move home. The solution could be to build upwards.
Planning regulations have been relaxed, which increases the chances of an application to extend property upwards being granted. Adding living space can be achieved by converting unused loft space. Taking the roof off to add another storey is possible, if expensive, and a more more affordable possibility being for homes with permanent garages attached to build an extension above the garage roof.
Extensions are also attractive to buy-to-let landlords who want to add more rooms to property to increase their rental income.
With house prices rising, it can be cheaper to build an extension than moving into a larger home.
An extension that cost £25,000 or more can be financed through remortgaging or bridging finance. As a mortgage can take a long time to arrange, a bridging loan can be used so that construction can start quickly, then repaid after mortgage funds are available.
Interest rates are expected to rise in May by 0.25%. This will make mortgages and bridging loans more expensive, but not significantly so, so it should not put off borrowers who need to finance extensions with a loan.
A broker who deals with both bridging loans and mortgages can provide advice on the best finance options for homeowners or landlords who want to extend upwards. They can find the best-suited loan deals for borrowers.