Our homes are also our biggest financial assets and we should never forget this. House prices have shot up in recent years and most properties are worth a lot more than their owners paid for them. It is possible to take some of this value out of the property, add it to the existing mortgage and pay it back over a number of years. For millions of homeowners this has been a gateway to extending their property, redecorating, squaring off outstanding personal debts or making capital available for family. By taking equity out of a property to extend or redecorate, you are reinvesting in the very asset you have borrowed from while at the same time making it a better place for you to live.

In many instances your existing mortgage lender will provide you with the extra funds you need, but be aware that it may change the rate on your current mortgage and that there’ll be fees involved in taking out the extra capital. Speaking to a mortgage broker will help you discover exactly how much you can take out, how to do it most economically and what sort of costs will be involved.

Move Angels’ Quick summary

• A property may be your biggest financial asset, but it is also your home. Use the capital wisely and don’t treat it as a cash cow.
• If your existing mortgage lender can’t help, then there are others who will and speaking to a broker will soon make all the options clear.