Case Study: Helping a Homeowner Remortgage to Raise £75,000 for Home Improvements
This mortgage case study is based on a real client scenario. Details have been simplified to protect client confidentiality. Remortgaging isn’t just about getting a better interest rate. In many cases, homeowners can also use it to release equity from their property. This is often referred to as a remortgage to release equity in the UK, and it’s one of the most common ways homeowners raise funds.
In this case, we helped a London homeowner remortgage to raise additional funds for home improvements.
If you’re unsure how much you could release from your property, we can usually give you a clear answer quickly based on real lender criteria.
The situation
Our client owned a property in London and had built up a significant amount of equity over time.
They wanted to:
- Raise £75,000
- Fund a full property renovation
- Keep monthly payments manageable
However, they were unsure:
- How much they could borrow
- Which lenders would allow additional borrowing
- How affordability would be assessed
The challenge
Raising additional funds through a remortgage isn’t always straightforward.
Lenders assess:
- Loan-to-value (LTV) after borrowing
- Income and affordability
- Existing commitments
- Purpose of the funds
Some lenders also apply stricter criteria for capital raising compared to standard remortgages.
What we did
We reviewed the client’s financial situation and assessed lenders across the market.
This included:
- Calculating available equity and borrowing limits
- Identifying lenders comfortable with capital raising
- Structuring the mortgage to keep payments affordable
- Comparing multiple lender affordability models
By selecting the right lender, we ensured the additional borrowing was both achievable and sustainable.
The result
The client successfully remortgaged and raised the funds required.
Key outcome:
- £75,000 released from equity
- Mortgage approved with suitable monthly payments
- Renovation plans able to proceed
Oportfolio insight
Many homeowners don’t realise they can release equity through a remortgage.
However:
- Lender criteria varies significantly
- Affordability rules differ between lenders
- Borrowing limits can vary more than expected
The key is matching your situation to the right lender.
When remortgaging to raise funds can work well
This type of mortgage is often used for:
- Home improvements or extensions
- Debt consolidation
- Supporting family members
- Property investment deposits
Each purpose is assessed differently by lenders.
Need help with a remortgage?
If you’re considering raising funds through your mortgage, we can help you understand what’s possible. We’ll assess your income, equity, and lender options to give you a clear answer.
Book a quick affordability review with Oportfolio Mortgages and we’ll show you what’s realistic.
FAQ: Remortgage to release equity UK
How much equity can I release from my home?
This all depends on how much mortgage you can afford, how much mortgage you have outstanding already, and how much your property is worth. Generally you can borrow around 4.5x to 5.5x your income for a mortgage and can potentially borrow up to 95% of the value of your property. But this is all on a case by case basis.
Can I remortgage to fund home improvements?
Yes, as long as the improvements are approved by the lender and you have all the correct proof. Your mortgage adviser will be able to guide you with this.
Do lenders allow capital raising mortgages?
Yes. But not all lenders. Your mortgage adviser will be able to help you to secure a mortgage with the right lender.
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