[dUnKle]

Following on from a rather nasty flood we have had this week we are looking at getting work done to house all at the same time.

The insurance will obviously only cover what has been damaged but on top of that we need

New Central Heating System (combi boiler installed - new rads etc)
New Kitchen units and appliances
New Bathroom units and appliances
Decoration of the above
Doorway from hall to kitchen put in
Hall stairs and landing decoarted

With this in mind we estimate around 5 grand needed (heating going to cost best part of 3k - need new boiler (along with it installed in new location) along with 4 new radiators)

Whats the best way of financing this ?
We only purchased place back in December 2006 - looking back wish had taken an extra 5k out at time on mortgage

Would we be better off getting a loan or putting on mortgage (mortgage currently 2 years fixed with nationwide)

[Pat_C]

If you're spending around three grand on the central heating then I'd say you would probably be looking at more than five grand for everything you listed.

Getting it put on the mortgage should give you the lowest monthly payment, but probably the highest total interest payable.

[dUnKle]

Originally Posted by Pat_C

If you're spending around three grand on the central heating then I'd say you would probably be looking at more than five grand for everything you listed.

Getting it put on the mortgage should give you the lowest monthly payment, but probably the highest total interest payable.

Cheers

Have two people coming Friday for quote on heating - it would be to replace current (non combi) boiler with a new combi boiler system - at same time moving new boiler from kitchen to the current airing cupboard on landing that houses hot water tank. Would then need 4 of our existing rads replaced with half size rads and the remaining 3 rads fitted with thermostatic controls

Guessing at around 3k (friend has bigger house and similar work and came to around that)

Seems most loans of around 5K over 4 years will see us paying back around £5800 at around £120 a month

Would the same amount on top of the mortgage cost the same ?

[Woodywizz]

Christ, my wife would spend £5k on the bathroom alone

As has been said before, putting it on the mortgage will give you the cheaper monthly cost but the more expensive overall cost - however, needs must and many people do this in order to keep their level of disposable income relatively high. Ring Nationwide and see if they can either :

a) top up the existing mortgage at the rate you are currently on - unlikely given that you are part-way into a fixed; or

b) do an equity release type loan - which will usually be at the lender's standard variable rate, but which can be incorporated into the mortgage at the end of your current fixed-rate period.

[Kieron]

If you are credit worthy - you could always do the 0% juggle....

www.moneysavingexpert.com

[Pat_C]

Originally Posted by dUnKle

Guessing at around 3k (friend has bigger house and similar work and came to around that)

Yes, that sounds about right. We had our system replaced when the house was extended and it came to about that. It was the other 2k that I thought sounded a bit light.

[dUnKle]

Originally Posted by Pat_C

Yes, that sounds about right. We had our system replaced when the house was extended and it came to about that. It was the other 2k that I thought sounded a bit light.

Well may be that we only do the kitchen now and just "tart" up the bathroom (floor will be replaced on the insurance for flood)

We can afford around £130 or so extra a month

Halifax seems ok at 6.6% 119.63 a month for 48 months

[Mr_Wistles]

I think you will do well to get all that for 5k, as with Woodywizz my missus just spent double that on the bathroom.

I would try and do the 0% juggle easy if I was in your situation.

[dUnKle]

Originally Posted by Russell_Piper

I think you will do well to get all that for 5k, as with Woodywizz my missus just spent double that on the bathroom.

I would try and do the 0% juggle easy if I was in your situation.

Whats the 0% juggle ?

[27neth]

For the rest of the work, new kitchen, new bathroom etc, you would be looking more at 12k upwards not 2k.
(I work as a joiner and all the work i do is through insurance claims)

john.

[dUnKle]

Originally Posted by 27neth

For the rest of the work, new kitchen, new bathroom etc, you would be looking more at 12k upwards not 2k.
(I work as a joiner and all the work i do is through insurance claims)

john.

Sister in law just installed her own kitchen - cost less than a grand
All the ones we have seen cost that too - where are people getting 5 grand plus from for kitchens ?

Ok I understand if insalling some super dooper thing with all the mod cons and extras but all we will be getting is two new work units -around 6 to 8 ground cupboards - 3 wall cupboards and a new cooker and sink. In fact it may well be less than that as we will be getting rid of one unit to open up back onto the hall again

Only priced the worktops but for what we wanted it was about £350

[27neth]

It all depends on what kitchen you want. for basic units and free standing appliances it can be cheap. Most people want intergrated appliances, built in oven and hobb, extractor, cornice, pelmets and new wall tiles. Also most people who do diy jobs use jointing bars in the worktops which dont look good.
If you do fit the kitchen yourself buy the 18mm base units with adjustable legs not the cheap 15mm flat packs

john

[27neth]

What was your insurance claim for? Can you not claim money towards your kitchen or bathroom and decorating

John.

[dUnKle]

Cheers for all advice andlike so far

Is the general opinion that would be better off getting a loan rather than placing money on mortgage

[Mr_Wistles]

Originally Posted by dUnKle

Cheers for all advice andlike so far

Is the general opinion that would be better off getting a loan rather than placing money on mortgage

Unless you have a special mortgage that allows you to do that you would have to pay another arrangement fee.

[Mr_Wistles]

Originally Posted by dUnKle

Whats the 0% juggle ?

Take out a credit card that has a 0% offer for the first year, once that is about to expire take out another card and transfer it.

I have friends who have been doing that for years. As long as you are disciplined and don't spend on the card(s) once you have transferred it is a very easy way to effectively have an interest free loan.

[ScouserAndy]

i borrowed an extra 6k on the mortgage last month. For me that was the best way to afford it, only worked out abot £35 a month extra, but the interest will easily be an extra 10k on that. Not worrying about that, you have to live so im not gonna bust my self every month, need some enjoyment.

[Pat_C]

Originally Posted by Russell_Piper

I have friends who have been doing that for years. As long as you are disciplined and don't spend on the card(s) once you have transferred it is a very easy way to effectively have an interest free loan.

Isn't there still usually a balance transfer charge?

[Mr_Wistles]

Some do but some don't, if you shop around I am sure you will be able to find one a year that doesn't.

[miceri]

Here in Schweiden, when changing from a lower power efficient (i.e. directly power from electricity board to power the rads) system to a 'greener' solution, i.e. Bergvärme (Hole drilled in mountain to take thermal energy), or indeed solar power then grants are available from the government.

Is there not something similar their? Also check Euroland directly...

Finally, here when performing any DIY than is an improvement (i.e. not normal maintainance), then we keep the receipts and can claim the VAT back when selling the property.

Maybe not that helpful, but I hope it gets you thinking of other avenues to try and finance this.