Renovating homes ''very popular''

People are spending an average of 12 per cent of their total annual expenditure on home renovations and improving their property, according to a new report.

Research from Sainsbury''s Bank shows people are dedicating significant amounts of their personal budgets to improving their homes and are getting loft conversions and conservatory extensions to add value and space to properties.

The problem with renovation is often financial as many mortgage lenders only lend to those who are living in already habitable dwellings.

If your property requires extensive work you will probably be offered a loan of between 66 per cent and 95 per cent of the property''s current value.

Then as you begin work and the property is re-inspected, more funds may be released.

However, many specialist lenders like BuildStore offer a preferable process which offers stage payments in advance.

Also do not forget that your renovations may be eligible for tax relief if the building if listed or empty.


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