Mortgage

  • Let us find you a better mortgage deal. Fill out the form and we’ll do the hard work

  • There are very few of us who are lucky enough not to have a mortgage on their property. For those that do, its probably the biggest loan we’ll ever take out. The interest you pay back over the term can often be double the initial amount borrowed. It’s therefore essential to try keep the applied interest rate to a minimum. 

    The rates on mortgages generally come in two forms. Fixed and Variable. Mortgage

    Fixed Rates

    If you’re concerned that mortgage interest rates will go up in the future, or you want to be in control of your repayments, a fixed rate mortgage is for you. You can fixed your interest rate for a number of years to ensure your repayments will always stay the same, no matter what the Bank of England decides to do with the base rate. 

    The are a couple of restrictions with fixed rates however. 

    1. they don’t allow large over payments. They usually allow up to 10% per year. This could prevent you paying off your mortgage quicker if you come into some money through and inheritance for example. 
    2. they don’t allow you to change your mortgage type or move to another lender during the fixed term. 

    If you want to do either of these things during the fixed term you are going to face penalties. 

    Buying a new property

    If your a first time buyer or wanting to move house, you’ll need a deposit. They days are gone when you could take out a mortgage without putting in any of your own savings. 

    Mortgage lenders usually look for around 10% however some have now moved to 5% deposits. This means that if you are buying a property for £100,000, you’ll need £5,000 (5%) of your own money to put towards it. 

    The more deposit you have the better rate you’ll be offered by the lender. If you commit more of your savings it’s a lower risk to the lender and therefore a more attractive rate is offered. 

    Re-mortgage

    One of the biggest mistakes people make with their mortgage is to stay with the same lender after their initial fixed rate deal has expired. The rate can often jump up and make a big difference the monthly repayments. 

    It is always worth shopping around to see what other mortgage deals are available as over the term of the mortgage you could save thousands. 

    We offer a re-mortgage service so you don’t have to spend time talking to the lenders. As we are in contact contact with the lenders, we know which ones will take on your mortgage loan and offer you a better rates. Use the mortgage forms opposite and we’ll be in contact. 

    Affordability

    Mortgage lending is now calculated on affordability. In time gone by it used to be multiples of your salary, however this didn’t take into consideration what other commitments like personal loans you may have. 

    Lenders now want to know what you earn and what your outgoings are. It’s a fair way to ensure they get their money back but also you have a realistic chance of making your repayments. 

    If you don’t already to do it, its a good idea to write down all you income and expenditure to see what your fixed outgoings are and those which you could cut back on. Once you have an idea of this you can start talking to lender. If you provide this information to us we’ll do some shopping around for you. 

    Consolidating loans onto a mortgage

    One of the best ways to reduce your monthly outgoings and free up some disposable income is to consolidate your personal loan or credit card debt onto a mortgage. The interest rate on your mortgage will be significantly lower than the interest rate on your personal debt. Talk to us about consolidating and freeing up some income.