The Cost of upgrading increasing
The costs involved in upgrading a UK home is on the increase according to research by Yorkshire bank.
A new report released by the bank reveals that homeowners in the UK are typically having to pay £34,000 more than their existing property is worth just to purchase a house that is one bedroom bigger than their current home.
Despite the rising cost of property, only 26% of homeowners surveyed in the report said that they would be put off by the increasing costs with our homeowners seeing the need of a larger mortgage as merely a step towards them owning their dream home.
Yorkshire Bank noticed that while homeowners are not being put off by the high price of having an extra bedroom, they are becoming more “prudent” in their purchases in an effort to ensure they can afford the increased repayments on their new mortgage.
This attitude of taking on the increased risk of a larger mortgage is mirrored by the opinion of the vast majority of homeowners, that interest rates will increase and they are ready to face the increased financial burden. Only 14 per cent of those surveyed by Yorkshire bank said that they thought they would struggle to make higher mortgage repayments.
Yorkshire Bank advised homeowners that they should not over-stretch themselves financially.
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