Decreasing the amount required for mortgage after AIP

maisiedaisy

We own our home, and received approval in principle for a mortgage to carry out a substantial extension prior to lockdown. Our planning got held up by Covid and we’re currently waiting for final approval.

But, Covid has made us reassess everything, and we’ve decided we don’t want to extend, but instead carry out some smaller renovations (knock a wall or two, relocate the kitchen). This will obviously be a lot cheaper, and we won’t need the full amount we’ve applied for. We’re wondering if this means we need to reapply for a mortgage, or do we just get a personal loan? Has anyone experienced somewhere?

Trish56

Depends on the amount you now want to borrow as all lenders have minimum loan amounts. If inside that limit all you have to do is inform the lender of the reduced amount required and they will issue an amended AIP.