Improve your home - with council cash

Homeowners struggling to find cash to improve their house could borrow money from Rochdale Borough Council in a new Government scheme.

A loan is being made available based on the equity from the property, and does not require repayment until the house is sold, or if the homeowner dies.

Equity Release scheme is available to any private homeowner who is in receipt of certain state benefits or in “necessitous circumstances”, who requires repairs or improvements to their home which they would otherwise be unable to afford.

Rochdale Borough Council claims the scheme will help families who are struggling financially, to bring their homes up to a better standard which will be easier to sell.

A spokesman said: “If a property had an existing market value of £90,000 and requires £15,000 of work, after the work the property would be worth £100,000.

“Therefore, if the improved market value of the property is £100,000, after the work has been completed, the loan represents 15% of the new market value of £100,000.

“This 15% will be registered as a charge against the property on the deeds”.