--- title: "Refurbishment Loans" description: "Explore refurbishment loans of up to 100% LTV, we work with short term lenders that provide funding to both the purchase and refurbishment." url: "https://mortgagelane.com/short-term-finance/refurbishment-loans" site: "Mortgage Lane" collection: "mortgages" date: "2026-08-04" author: "Joseph Lane" category: "Mortgages" reviewed: "2026-10-08" reading_time: "11 min" byline: "Joseph Lane" author_credentials: "CeMAP · FCA authorised firm" language: "en-GB" robots: "index,follow" --- # Refurbishment Loans Explore refurbishment loans of up to 100% LTV, we work with short term lenders that provide funding to both the purchase and refurbishment. Explore refurbishment loans of up to 100% LTV, we work with short term lenders that provide funding to both the purchase and refurbishment. [Refurbishment finance](https://mortgagelane.com/definitions?term=refurbishment-finance) Development finance Finance for improving an existing property, from repairs and modernisation to more extensive renovation works. [Read the full definition of Refurbishment finance](https://mortgagelane.com/definitions?term=refurbishment-finance) ## Specialist Refurbishment Loans Speak to a Mortgage Lane adviser about your options. ## In short Refurbishment funding sits between a mortgage, a bridging loan and development finance, and the scope of works, the property's condition at the outset and the planned exit decide which of the three routes fits. ## Refurbishment Finance Requires Correct Structuring From the Outset Refurbishment finance sits between standard mortgages, bridging loans, and development finance, so selecting the right funding route is essential from the start. The property condition, scope of works, timescale, valuation approach, and exit strategy all affect which lenders and products are suitable. ## Specialist Placement for Works, Valuation, and Exit Strategy We assess refurbishment funding options across the market, including bridging, refurbishment mortgages, and development finance, to identify the most appropriate structure for the case. Correct lender matching helps reduce delay, avoid unnecessary cost, and align the funding with both the works programme and the intended exit. [Speak to a specialist today and check your eligibility](https://mortgagelane.com/contact) ## Refurbishment loan options *Refurbishment loan options* | Option | When it fits | | --- | --- | | Bridging loans | For unhabitable purchases | | Further advances | For capital raising mid mortgage-term | | Development finance | For heavy renovations or developments, works funded | | Renovation mortgages | For purchases requiring light to medium renovation | | Bridge to Let | For light to medium refurbs, with a guaranteed exit | | Re-mortgages | For capital raising, existing lender won’t offer further advance | | Second charges | For capital raising to avoid exit charges | ## Process breakdown 01 ### Information gathering and advice The first stage of your refurbishment loan application involves gathering or updating key details about the property, any tenants, and your personal circumstances. Once this information is established, your refurbishment loan broker will recommend the most suitable funding option. 02 ### Credit approval Once you are satisfied with the recommended product and confirm you wish to proceed, the case is usually submitted the same day to obtain a decision. Up to this point, no fees are payable. If an Agreement in Principle (AIP) is approved, the application can progress to full submission, at which point lender fees become due. 03 ### Application, valuation & underwrite Once the application is submitted, the valuation is arranged and, in most cases, instructed after initial underwriting has been completed, depending on the lender. When the valuation is returned and deemed acceptable, the lender can issue a formal offer, allowing the case to progress to the legal stage. 04 ### Offer and completion Once your refurbishment loan offer has been issued, you will require appropriate legal advice. When all legal requirements are satisfied, your solicitor can draw down the funds. Your broker at Mortgage Lane will continue to monitor the application post-offer, liaising with all parties to help progress the case through to completion. ## Refurbishment loan criteria *Refurbishment loan criteria* | Criteria | Detail | | --- | --- | | Max LTV | Up to 100% LTV with additional security | | Works to be funded | Up to 100%, in arrears | | Max LTV: further advances | 95% Residential / 85% Buy to Let | | Minimum loan | £25,001 | | Interest options | Interest only, capital repayment | | Funding purposes | Conversions, extensions, light and heavy refurbishments | | Planning notes | Full planning or permitted developments | ## Development Finance \| Refurbishment Loan Rates September 2026 ## Development Finance \| Refurbishment Loan Rates October 2026 | Feature | Detail | | --- | --- | | Day one max LTV | 75% LTV | | Product fee | 2% Arrangement fee | | Rate | From 0.72% per month | Some buy-to-let and commercial mortgages are not regulated by the Financial Conduct Authority. ## Let to Buy Mortgage Rates: Purchase (New Home) October 2026 | Feature | Detail | | --- | --- | | LTV | 75% LTV | | Product Fee | £999 Flat Product Fee | | Rate | 3.85% | | Fixed Term | 5 years | ## Types of Refurbishment Loans Flexible refurbishment loan options to suit different property conditions, budgets, and timelines, from light refurbishments to major renovation and development projects. **Bridging loans for refurbishment finance** For property investors focused on purchases involving light refurbishment, enhanced bridging loans are one of the most effective funding solutions available. They are particularly well suited to acquisition-led strategies, including property flips and Buy, Refurbish, Refinance (BRR) models, where speed of purchase and execution is critical. [Read more about Bridging loans for refurbishment finance](https://mortgagelane.com/guides/refurbishment-loans/bridging-loans-for-refurbishment-finance)[Get in touch about Bridging loans for refurbishment finance](https://mortgagelane.com/contact) [Refurbishment finance](https://mortgagelane.com/definitions#def-refurbishment-finance) · [Development finance](https://mortgagelane.com/definitions#def-development-finance) **Development finance for refurbishment finance** Development finance can support refurbishment involving structural works, extensions or major alterations. Read how it can cover acquisition and build costs for these projects. [Read more about Development finance for refurbishment finance](https://mortgagelane.com/guides/refurbishment-loans/development-finance-for-refurbishment-finance)[Get in touch about Development finance for refurbishment finance](https://mortgagelane.com/contact) [Refurbishment finance](https://mortgagelane.com/definitions#def-refurbishment-finance) · [Development finance](https://mortgagelane.com/definitions#def-development-finance) **Home refurbishment mortgages** Second charge mortgages allow additional borrowing without disturbing an existing mortgage, making them suitable where early repayment charges apply or the current mortgage rate is favourable. [Read more about Home refurbishment mortgages](https://mortgagelane.com/guides/refurbishment-loans/home-refurbishment-mortgages)[Get in touch about Home refurbishment mortgages](https://mortgagelane.com/contact) [Second-charge mortgage](https://mortgagelane.com/definitions#def-second-charge-mortgage) · [Early repayment charge (ERC)](https://mortgagelane.com/definitions#def-early-repayment-charge) **Further advances for refurbishment finance** A further advance allows you to borrow additional funds from your existing mortgage lender to finance home improvements or refurbishment works. It is often one of the most straightforward and cost-effective ways to raise capital, as it avoids changing lender and usually carries lower rates than short-term finance. [Read more about Further advances for refurbishment finance](https://mortgagelane.com/guides/refurbishment-loans/further-advances-for-refurbishment-finance)[Get in touch about Further advances for refurbishment finance](https://mortgagelane.com/contact) [Refurbishment finance](https://mortgagelane.com/definitions#def-refurbishment-finance) · [Loan-to-value (LTV)](https://mortgagelane.com/definitions#def-loan-to-value) **Second charges for home refurbishment loan** A second charge mortgage is a flexible way to raise funds for refurbishment works without altering your existing mortgage. It is a separate loan secured against the same property, ranking behind the first mortgage on the title, and is commonly used where speed, flexibility, or preservation of an existing mortgage deal is important. [Read more about Second charges for home refurbishment loan](https://mortgagelane.com/guides/refurbishment-loans/second-charges-for-home-refurbishment-loan)[Get in touch about Second charges for home refurbishment loan](https://mortgagelane.com/contact) [Refurbishment finance](https://mortgagelane.com/definitions#def-refurbishment-finance) · [Second-charge mortgage](https://mortgagelane.com/definitions#def-second-charge-mortgage) **Refurbishment mortgages for buy to let** A buy-to-let refurbishment mortgage is designed for investors purchasing a property that requires renovation, allowing them to complete the acquisition on a mortgage rather than relying on short-term bridging finance. This structure enables borrowers to move straight onto a longer-term mortgage product at purchase, even where the property is not yet suitable for immediate letting, reducing refinance and timing risk. [Read more about Refurbishment mortgages for buy to let](https://mortgagelane.com/guides/refurbishment-loans/refurbishment-mortgages-for-buy-to-let)[Get in touch about Refurbishment mortgages for buy to let](https://mortgagelane.com/contact) [Buy-to-let mortgage](https://mortgagelane.com/definitions#def-buy-to-let-mortgage) · [Development finance](https://mortgagelane.com/definitions#def-development-finance) **Commercial refurbishment loans** Commercial refurbishment loans enable borrowers to add value through reconfiguration, improve rental yields, enhance tenant appeal, or create more flexible commercial layouts. For business owners, they can support operational growth by upgrading or adapting premises without needing to relocate. [Read more about Commercial refurbishment loans](https://mortgagelane.com/guides/refurbishment-loans/commercial-refurbishment-loans)[Get in touch about Commercial refurbishment loans](https://mortgagelane.com/contact) [Refurbishment finance](https://mortgagelane.com/definitions#def-refurbishment-finance) **Bridge to Let Refurbishment Loans** A Bridge to Let refurbishment loan is designed for property investors using a flip or BRR (Buy, Refurbish, Refinance) strategy who want the speed of bridging finance with the certainty of a pre-agreed buy-to-let exit. It reduces refinance risk by assessing the long-term mortgage outcome at the outset, subject to a satisfactory post-works reinspection. [Read more about Bridge to Let Refurbishment Loans](https://mortgagelane.com/guides/refurbishment-loans/bridge-to-let-refurbishment-loans)[Get in touch about Bridge to Let Refurbishment Loans](https://mortgagelane.com/contact) [Refurbishment finance](https://mortgagelane.com/definitions#def-refurbishment-finance) · [Development finance](https://mortgagelane.com/definitions#def-development-finance) **Re-mortgage for refurbishment loan** A remortgage for refurbishment allows homeowners or landlords to fund renovation works by switching to a new mortgage product and releasing equity from their property. It is a cost-effective option where the property is already mortgageable and the refurbishment is planned rather than urgent. [Read more about Re-mortgage for refurbishment loan](https://mortgagelane.com/guides/refurbishment-loans/re-mortgage-for-refurbishment-loan)[Get in touch about Re-mortgage for refurbishment loan](https://mortgagelane.com/contact) [Refurbishment finance](https://mortgagelane.com/definitions#def-refurbishment-finance) · [Mortgage](https://mortgagelane.com/definitions#def-mortgage) ## Explore related mortgages and guides - [2026](https://mortgagelane.com/guides/alternatives-to-bridging-loans/renovation-mortgages-as-bridging-loan-alternatives)Guide[Renovation mortgages as bridging loan alternatives](https://mortgagelane.com/guides/alternatives-to-bridging-loans/renovation-mortgages-as-bridging-loan-alternatives)Renovation mortgages are designed for purchasing residential properties that are currently uninhabitable or in poor condition and require light to medium refurbishment. They provide a structured form of long-term funding that can cover both the property purchase and the cost of essential works, making them a strategic and lower-risk alternative to short-term bridging finance in the UK.[Read more about Renovation mortgages as bridging loan alternatives](https://mortgagelane.com/guides/alternatives-to-bridging-loans/renovation-mortgages-as-bridging-loan-alternatives) - [2026](https://mortgagelane.com/guides/refurbishment-loans/bridging-loans-for-refurbishment-finance)Guide[Bridging loans for refurbishment finance](https://mortgagelane.com/guides/refurbishment-loans/bridging-loans-for-refurbishment-finance)For property investors focused on purchases involving light refurbishment, enhanced bridging loans are one of the most effective funding solutions available. They are particularly well suited to acquisition-led strategies, including property flips and Buy, Refurbish, Refinance (BRR) models, where speed of purchase and execution is critical.[Read more about Bridging loans for refurbishment finance](https://mortgagelane.com/guides/refurbishment-loans/bridging-loans-for-refurbishment-finance) - [2026](https://mortgagelane.com/short-term-finance/hotel-bridging-loans)Mortgage[Hotel Bridging Loans, Auction and Refurbishment Finance](https://mortgagelane.com/short-term-finance/hotel-bridging-loans)Hotel bridging loans to buy, refurbish or convert a hotel: trading and vacant possession values, auction timetables and the exit to a hotel mortgage.[Read more about Hotel Bridging Loans, Auction and Refurbishment Finance](https://mortgagelane.com/short-term-finance/hotel-bridging-loans) ## Frequently asked questions and answers on refurbishment loans **Q: Can you get a higher mortgage loan to refurbish?** faq-id: can-you-get-a-higher-mortgage-loan-to-refurbish Yes, you can obtain a higher mortgage to fund refurbishment if the lender agrees the property will support the increased loan based on its current or projected value. This is typically arranged through a further advance, remortgage, or refurbishment mortgage, subject to affordability and loan-to-value limits. **Q: How to get a home renovation loan?** faq-id: how-to-get-a-home-renovation-loan To obtain a home renovation loan in the UK, you apply either for a further advance, remortgage, secured loan, or specialist refurbishment mortgage. Lenders assess affordability, credit history, property value, and the cost and scope of works before approving funds. **Q: How does a renovation loan work?** faq-id: how-does-a-renovation-loan-work A renovation loan works by advancing money secured against a property to fund improvements. The lender assesses income, credit profile, and property value, and may release funds in stages. Repayments are made monthly with interest over an agreed term. **Q: How to get a renovation loan?** faq-id: how-to-get-a-renovation-loan You can obtain a renovation loan by applying for a further advance, remortgage, second charge mortgage, or specialist refurbishment product. Approval depends on income affordability, credit status, loan-to-value ratio, and confirmation that the proposed works meet lender criteria. **Q: How to get a loan for house renovation?** faq-id: how-to-get-a-loan-for-house-renovation A loan for house renovation is obtained by applying for a mortgage further advance, remortgage, second charge mortgage, or personal loan. Lenders require proof of income, credit assessment, and details of the renovation costs before approving funds. **Q: Can you renovate a house with a mortgage?** faq-id: can-you-renovate-a-house-with-a-mortgage Yes, a house can be renovated using mortgage funds if the lender permits it. Minor works are usually acceptable under a standard residential mortgage, but major structural renovations may require a refurbishment mortgage or stage-release product with specific underwriting conditions. **Q: How do home renovation loans work?** faq-id: how-do-home-renovation-loans-work A home renovation loan provides funds for property improvements, either as a lump sum or in stages. The lender assesses affordability and loan-to-value, and interest is charged on the borrowed amount. Some products release funds only after works are completed or inspected. **Q: How to apply for a home renovation loan?** faq-id: how-to-apply-for-a-home-renovation-loan To apply for a home renovation loan, you submit an application to a lender with income evidence, bank statements, details of existing debts, and a schedule of works with cost estimates. The lender conducts affordability checks and a property valuation before issuing an offer. **Q: How to get a loan for home renovation?** faq-id: how-to-get-a-loan-for-home-renovation To get a loan for home renovation, approach a regulated lender and apply for either a secured or unsecured product. The lender assesses affordability, credit history, and property value. Larger sums are typically secured against the property. **Q: What is a renovation loan?** faq-id: what-is-a-renovation-loan A renovation loan is a finance product used to fund property improvements. In the UK, it may be structured as a further advance, remortgage, second charge mortgage, or specialist refurbishment mortgage secured against the property. **Q: Are bridging loans dangerous?** faq-id: are-bridging-loans-dangerous A bridging loan is not dangerous in itself, but it carries more risk than a standard mortgage if it is used without a workable plan. Bridging loans are short-term, high-cost loans that rely on a clear, achievable exit such as a sale or refinance, and the risk increases if the exit fails, the term is exceeded or the costs are misunderstood. **Q: Are bridging loans regulated?** faq-id: are-bridging-loans-regulated Some are. A bridging loan is regulated by the FCA when it is secured on a property that is, or will become, the borrower's main residence: in law, where at least 40% of the property is used, or is intended to be used, as a dwelling by the borrower or a close family member. Bridging loans for buy-to-let, investment, commercial property or land are usually unregulated. **Q: Are bridging loans regulated by the FCA?** faq-id: are-bridging-loans-regulated-by-the-fca Some bridging loans are regulated by the FCA. A bridging loan is FCA-regulated if it is secured against the borrower's main residence or a property intended to become their main home; the legal test is that at least 40% of the property is used, or is intended to be used, as a dwelling by the borrower or a close family member. Bridging loans for buy-to-let, commercial property, land or investment purposes are usually unregulated. **Q: Are bridging loans still available?** faq-id: are-bridging-loans-still-available Yes, bridging loans are still available in the UK. They are provided by specialist lenders and some challenger banks, and are commonly used for short-term property finance, including auctions, chain breaks, refurbishment, and commercial or investment purchases where speed and flexibility are required. **Q: Are renovation mortgages available for fixer-upper properties in the UK?** faq-id: are-renovation-mortgages-available-for-fixer-upper-properties-in-the-uk Yes, renovation mortgages are available in the UK for fixer-upper properties, although the options are limited. They are usually specialist renovation or self-build style products that release funds in stages. If the property is uninhabitable at purchase, bridging finance is often used first, followed by a mortgage once the works are complete. ## Talk it through with an adviser Let’s talk property finance ## Contact us **Call our team:** [+44 333 231 8206](tel:+443332318206) **Email us:** [enquiries@mortgagelane.com](mailto:enquiries@mortgagelane.com) **Opening hours:** Monday to Friday, 9am–6pm Closed Saturday and Sunday Your enquiry goes to our team, who will get in touch to discuss your next steps. Fields marked are required. First name Last name Email Phone What can we help with? Residential mortgage Remortgage Buy to let Bridging finance Commercial Something else Tell us about your enquiry I am happy to receive occasional mortgage news and rate updates. Send enquiry We use your details to respond to your enquiry and, if you opt in, send updates. See our [privacy policy](https://mortgagelane.com/privacy-policy). Published: 2026-08-04 Last reviewed: 2026-10-08 Source: https://mortgagelane.com/short-term-finance/refurbishment-loans