How can I raise £20,000? Stellaah

#1
Hello everybody,



I'm hoping someone might be able to help.



I recently moved to rural Cornwall and bought a property that needs a lot of work. I would like to raise £20,000-£30,000 to enable me to do the work. I don't have a mortgage and the property value is approx. £450,000. In moving I have also started working on a self-employed basis so don't have three years of accounts to show to a lender. (Nor a strong enough income in these early stages but an income that is steadily improving.)



How can I raise the money with the collateral I have? As I have no children would embarking on an equity release agreement be a sensible option? I am not planning on moving again and am 56 years old. Unfortunately I don't have a pension I can tap into. My partner has a good pension of £80,000 but is only 52 so can't access it.



Very much appreciate any help/guidance anyone can give.



Thanks very much for reading this.

#2
Rather than trying to borrow the whole amount up front could you do one job at a time and prioritise what really needs to be done then leave the nice to have jobs for a little later?



I'm not sure if you would be able to arrange a mortgage for home improvements with limited evidence of income, but an experienced mortgage broker may be able to help...or someone on here may be along soon with a better idea.

#4



My partner has a good pension of £80,000 but is only 52 so can't access it.
Originally posted by Stellaah


A bit off topic, but is that a pension income of £80k per year, or a total pension pot of £80k? If the latter, with UK life expectancy suggesting you'll make it to your early 80s, that £80k's got to last a good 15 years from what used to be statutory retirement age of 65....

#5
Thanks Clive,



The house doesn't have central heating and there are other issues that make sense to do all in one go - hence the figure.



Thanks for your input though.



And thanks Peaceful Waters and Reading Tim, too.



Yes, a mistake to call it 'good,' but neither of us will be retiring. Our businesses are aimed at providing the pension shortfall. Thanks for posting.

#6
The suggestion posted by Clive is a good one, why buy a property if you then struggle to get the money to do the work.



Both get a 0% credit card and buy what you need, rinse and repeat.

#7
Thanks DCFC79,



The land that comes with the property is what prompted the purchase - that and us being able to buy it and be mortgage free in a stunning part of the country. Yes, we knew we were stretched financially in terms of liquidity but it was too good an opportunity to turn down. If worse comes to worse we'll be able to sell it and walk away a six figure sum richer than what we paid for it. It just occurred to me that with an asset of value there may be a way to do the works sooner rather than later.



Wouldn't I need a strong employment history to apply for a 0% credit card?

#8



Wouldn't I need a strong employment history to apply for a 0% credit card?
Originally posted by Stellaah


Maybe, got any negatives on your credit history as lenders see that.



If you can't get 1 then your partner gets 1 and you do the work in stages.

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