Thinking of upgrading your home without draining your savings? Whether it’s a sleek new kitchen, a full attic conversion, or a spacious house extension, you might be wondering: can you remortgage for home improvements? The answer is yes—and it’s often one of the most cost-effective ways to finance major property upgrades. In this guide, we’ll walk you through how to remortgage for home improvements and extensions in Ireland. We’ll cover what remortgaging means, how it works, who’s eligible, and how to get started in using your home’s equity to fund renovations.
What Does It Mean to Remortgage for Home Improvements?
Remortgaging for home improvements means switching your existing mortgage to a new one—usually with a different lender—so you can release some of the equity built up in your property. This equity can then be used to finance upgrades such as a new kitchen, bathroom renovation, or even a full-blown house extension.
It’s a popular alternative to high-interest personal loans or credit cards, as mortgage rates are often much lower. Many homeowners in Ireland choose to remortgage to pay for home improvements because mortgage rates are typically lower. Another benefit? repayments can be spread over a longer term, making big renovation projects more affordable.
It’s important to understand that it’s not the same as just switching lenders to get a better rate— although that’s a nice bonus. When you remortgage to pay for home improvements or to build an extension, you’re effectively borrowing a bit more against the current value of your home.
For more details on when and why remortgaging makes sense, explore our full guide on the key reasons to remortgage.
Common Types of Projects Funded Through Remortgaging
Wondering what kinds of home improvements you can fund with a remortgage? Irish homeowners are increasingly tapping into their property equity to upgrade, extend, or future-proof their homes. Here are some of the most popular home improvements funded by a remortgage:
- Kitchen renovations – Whether you’re installing a sleek flatpack kitchen or opting for a bespoke design, a kitchen upgrade is one of the most common reasons people remortgage for renovations.
- Bathroom upgrades – Think luxurious walk-in showers, modern fixtures, and sleek tiling.
- Attic conversions – A smart way to create that home office, guest room or play area without extending the footprint of your house.
- Garden rooms – The new must-have for remote work or hobbies, especially when indoor space is limited.
- Energy efficiency upgrades – Improve your home with better insulation, energy-efficient windows, solar panels, or a heat pump system.
- Landscaping and outdoor living – Transform your garden with decking, patios, and fencing to make the most of Irish summers (short as they are!)
Remortgaging for House Extensions
Moving house just to gain an extra room or two? That’s often a costly and stressful route. Many homeowners in Ireland prefer to remortgage to build an extension instead—it can be more affordable, less disruptive and often a more practical alternative, especially when house prices are high.
Common types of extensions funded by a remortgage include:
- Single-storey or rear extensions – A great way to expand kitchen and dining areas for modern open plan living.
- Two-storey extensions – Ideal for growing families! Add an extra bedroom or bathroom upstairs while enlarging your living space below.
- Side returns and wraparound extensions – Ideal for older terraced or semi-detached homes, especially in Dublin and other cities with tighter plots.
If you’re planning to remortgage your house to build an extension, keep in mind the added complexity of construction timelines and planning permission. Still, for many, the reward of a transformed living space is absolutely worth it.
Building an Extension With a Remortgage: What to Consider
Before you remortgage for an extension, make sure you’re well prepared. Here’s what to factor into your decision:
- Accurate cost estimates – Get multiple quotes from reputable, qualified builders
- Planning permission – Check if your project requires planning permission (many do). Always check in advance.
- Pre- and post-renovation valuations – Your lender will assess your home’s current value and may do a follow-up valuation once works are completed.
- Loan-to-value (LTV) ratio – Your current loan-to-value ratio will determine how much equity you can release. If your home’s value has risen since you bought it, you’re in luck.
These steps are especially important when considering how to remortgage for house extension projects or larger renovations.
Eligibility: Who Can Remortgage to Fund Improvements?
While eligibility criteria vary between lenders, here’s what you’ll generally need:
- A good management of bank accounts with no missed or late repayments, and a good credit history.
- Steady income and employment
- Enough equity in your home (i.e., the value of your home exceeds your remaining mortgage). Most banks will take into account the proposed new property valuation after renovations complete.
- A residential property in Ireland that is suitable for a mortgage.
Whether you’re looking to remortgage after renovation, fund a new project, or simply explore your options, it’s important to speak to a mortgage advisor who understands both the property market and the construction landscape in Ireland.
How to Remortgage for Home Improvements Step by Step
Ready to go? If you’re ready to upgrade your home, here’s exactly how to remortgage for home improvements or an extension in Ireland—step by step:
1. Estimate cost of improvements or extension
Start by getting detailed quotes from builders, architects, and suppliers. Whether you plan to remortgage for renovations or build an extension, having clear cost estimates is essential for your lender and helps you avoid under- or over-borrowing.
2. Talk to a mortgage advisor or broker
That’s where we come in! A qualified mortgage broker can help you compare lenders and find the best remortgage deals available. We’ll tailor recommendations based on your goals, equity, and repayment capacity.
3. Apply for a remortgage
Once a lender is chosen, it’s paperwork time! You’ll complete a standard mortgage application. This involves submitting documents, arranging a valuation, and confirming how much equity you can release to fund your works.
4. Use funds as planned
Once approved, your solicitor helps draw down the funds and—voilà! — your project is a go. Then it’s time to kick-start your renovations, whether it’s that dream kitchen or a full rear extension.
When Should You Remortgage— Before or After the Renovations?
Great question. You typically need to remortgage before you start the work, especially if you need the funds to get going. However, if you’ve already completed the improvements, and your home’s value has gone up, you might remortgage after renovation to access that increased equity.
Either route is possible—it just depends on your situation and funding needs. You should however speak to a Mortgage Broker first to make sure you can borrow the amount needed.
Choosing the Right Lender or Mortgage Broker in Ireland
With so many mortgage products available, finding the right mortgage and lender can be tricky—rates, terms, and criteria vary. Lenders vary in their criteria, interest rates, and policies around remortgaging for home improvements.
That’s why working with a mortgage broker can make all the difference. We shop around for you, compare lenders, identify the most suitable deal for your needs, and guide you through every step of the process—saving you time, reducing stress, and potentially saving you thousands of euros in the long run.
Wondering how can a mortgage broker help you? We’re experts at finding the right fit for your goals—saving you time, stress, and money.
What Paperwork Do You Need to Remortgage for Renovations or Extensions?
Like any mortgage application, there’s a bit of admin involved. Here’s a checklist of what to prepare when applying to remortgage your house to build and extension or renovate:
- Builder, Contractor or Architects costings
From architects, contractors, or builders—outlining the scope, costs, and timeline.
- Proof of income and current mortgage balance
Payslips, bank statements, tax documents, and evidence of your existing mortgage balance. For structural works, your architect or engineer may also need to provide a sign-off.
- Valuation report
A fresh, up-to-date valuation of your property. This will need to be completed by a valuer that is on the banks panel of approved mortgage valuers.
How MortgageLine Can Help You Finance Your Home Improvements or Extension
At MortgageLine, we specialise in helping Irish homeowners remortgage to pay for home improvements, renovations, upgrades, and extensions. Whether you’re looking to modernise, expand, or simply make your space more liveable, we’re here to guide you every step of the way.
From property valuation to application paperwork, we’ll find you the best options and ensure your remortgage suits your budget and future plans. Thinking bigger? We also help clients remortgage to buy another property.
Contact us today for a free mortgage review call—and let’s turn your home improvement dreams into a well-financed reality.
FAQs
What’s the best way to finance home improvements?
Remortgaging is often the most cost-effective option, especially if you have equity in your home and want lower interest rates compared to personal loans or credit cards.
Is it worth remortgaging for an extension?
Yes—if your family needs more space and you’ve built up enough equity, remortgaging for a new extension can be a smarter move and more cost-effective than buying a larger home.
How to finance an extension in Ireland?
You can finance an extension by remortgaging, personal loans, credit union loans, or using savings. Remortgaging is usually the most affordable over the long term. Your mortgage broker can help you determine the best route based on your budget and property value.
