Homeowners opting to improve rather than move: Loans Warehouse – Mortgage Finance Gazette
More homeowners are choosing to invest in their existing property rather than move, with demand for home improvement finance rising. This is according to secured loan broker Loans Warehouse.
The comments follow a Reuters report highlighting the latest Nationwide House Price Index, which found UK house prices were flat in June while annual growth slowed to 2.2%.
The report suggested affordability pressures, higher borrowing costs and weaker buyer confidence are contributing to a more cautious housing market, with many prospective movers putting their plans on hold.
Loans Warehouse says its own lending data reflects this shift in homeowner behaviour. During Q2 2026, the number of secured loans completed for home improvement purposes increased by 14% compared with Q1 2026, as more homeowners looked to extend, renovate or modernise their current property instead of facing the expense of moving.
With the costs of relocating including legal fees, surveys, removals and, where applicable, Stamp Duty remaining significant, many households are finding that improving their existing home offers better long-term value.
Loans Warehouse co-founder Matt Tristram said: “The latest housing figures suggest many homeowners are pressing pause on moving, but they’re certainly not pressing pause on improving their homes. We’ve seen a noticeable increase in customers using secured loans to fund renovations, from kitchen refurbishments and loft conversions to larger extensions.”
“Many borrowers have built up substantial equity over recent years but are reluctant to remortgage because they’re sitting on historically low fixed-rate mortgage deals.”
