Re-mortgaging and home offices:

Could a remortgage be the answer to creating your home office space?

Over 50% of British homeowners are looking to renovate in 2021. Home offices are skyrocketing in popularity due to the pandemic and an increase in flexible working. We take a look at how to go about setting up at home, and how financing through remortgaging can be beneficial.

After over a year of Covid related restrictions, many homeowners have looked at adapting their properties to suit working from home – adding value to the property in the process. The first question on everyone’s minds is how such a task would be financed. After a tough year for many, you may be looking to borrow to complete the work.

Of course, no one wants to jeopardise their financial stability to improve their home working situation but working and living flexibly is in high demand. Whether it be renovating a spare room, converting a garage or even building a new outhouse, there are various ways to secure funds. For the latter, remortgaging can be a good way to finance the project.

Is remortgaging the answer?

Remortgaging may not always be the answer. There are instances where remortgaging may not be such a smart move when it comes to financing a home office build.

For example, if you’re locked into a long-term fixed mortgage, there could be large early repayment charges . This could make remortgaging a more expensive option than other methods. It would be advisable to only remortgage to finance a home office if you are either at the end of a fixed term or at least nearing it.

Other things to consider before deciding to remortgage include the type of mortgage you have. A high loan-to-value mortgage (90-95%) with only a few years of repayments would mean it’s unlikely you will have built up much equity. This could make it difficult to borrow more when remortgaging or it could push the monthly mortgage payments up.

So, is it worth it?

Obviously, undertaking a big project like building a home office is a decision that requires a lot of thought. Even though remortgaging is a great way to make financing such a project more manageable, it is still quite the commitment. Recent research suggests that flexible working is becoming more desirable. 70% of UK employees believe that flexible working makes a job more attractive. Home working has gained serious traction, so adapting homes to suit these preferences is in high demand. Many employers have also decided to utilise flexible working to save money on office space.


If you’d like to discuss the options available to you, contact us today.

Leave a Reply