How to borrow more on your existing mortgage
About borrowing more on your mortgage
What can I spend the additional borrowing on?
How much could I borrow?
What interest rate will I be charged?
Are there any fees?
What are the risks I should be aware of?
How long can I take to repay my additional borrowing?
Am I eligible
Who can borrow more?
What is my loan to value?
What is equity?
Is there a minimum amount I can borrow?
Applying to borrow more
If you are not sure what a particular word or term means then take a look at our A to Z of mortgage terms.
About borrowing more on your mortgage
What can I spend the additional borrowing on?
You can use this borrowing for a whole range of purposes, such as making home improvements or another important purchase. Although do think carefully before securing additional borrowing against your home as it will increase your overall mortgage debt.
How much could I borrow?
You could borrow up to 80% of the value of your property (taking into account your current borrowing secured on your home).
What interest rate will I be charged?
You can choose a rate from our options to suit your circumstances.
If you’re looking for peace of mind that the interest rate you pay won’t change while you’re in the initial period, a fixed rate mortgage may be the best deal for you.
Our tracker rates are linked to the Bank of England Bank Rate.
Are there any fees?
Yes – a £99 arrangement fee. You can pay this up front or add it on to the additional borrowing. If you add the fee to the additional borrowing you will be charged interest over the term of the additional borrowing. There may also be a product fee payable depending on the mortgage product you choose.
What are the risks I should be aware of?
This type of loan is secured against your home, so it's important that you keep up your repayments. If you don't keep up your repayments there is the risk that your home could be repossessed. Speak to us if you have any concerns.
How long can I take to repay additional borrowing?
You can borrow over any term (up to 40 years, but ending before your 75th birthday) so it can extend beyond the term of the mortgage. On a repayment mortgage the longer you take to repay, the lower your monthly repayments will be. Just bear in mind that the longer you take to repay your additional borrowing, the more interest you’ll be charged.
Am I eligible
Who can borrow more?
You need to have had a Halifax mortgage for more than 6 months to be able to apply for additional borrowing. Also, your payments must have been up-to-date for the three months before you apply.
What is my loan to value?
Loan to value (LTV) is the proportion of the value or price of the property (whichever is the lower), that you borrow on a mortgage. For example, a £80,000 mortgage on a house valued at £100,000 would mean a LTV of 80%. When applying for additional borrowing you need to take into account the current outstanding balance on your mortgage as well as the amount you are looking to borrow when working out what your loan to value (LTV) is and therefore whether you are eligible and which products are available to you.
Please note that with the fluctuations in house prices over recent years, it may be worth checking the value of your house with us prior to requesting additional borrowing.
The maximum LTV we would consider, including your existing mortgage and the additional borrowing, is 80%.
To find out your outstanding balance and the current index linked value of your property please call 0845 602 9717.
What is 'equity'?
The difference between the current value of your property and the amount you owe on your mortgage.
Is there a minimum amount I can borrow?
The minimum amount of an additional borrowing loan that we will consider is £5,000.
Applying to borrow more
How do I apply?
Take a look at our additional borrowing range and continue online. Or you can call us now on 08458 50 37 09 (Lines are open 8am to 8pm Mon to Fri, 9am to 4pm Sat).
We may monitor and record telephone calls to help us provide a higher level of service.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
