FAQs

A mortgage is generally the term used when you are buying a property, whilst a remortgage is generally used when a current mortgage is being switched to a new rate, new terms and/or a new lender. We are authorised by the FCA to discuss and advise on both new mortgages and remortgages for our customers.

There are two main types of mortgage and they differ depending on how the loan is repaid:

• A repayment mortgage gives you a monthly figure that you need to pay the lender each month, and once the term has finished and all payments have been made you own the property outright
• An interest-only mortgage still sees regular payments made to the lender, but these only cover the interest on the loan, leaving the original amount borrowed to be paid at the end of the term. Interest-only mortgages are much harder to come by these days, and it is possible to mix the two types

There are then two different ways in which the interest rate on your mortgage can be set:

• A fixed-term rate applies an interest rate for a set period of time, usually between 2 and 5 years though this can be up to 10 years. The rate cannot change in this time, offering certainty for the borrower that their outgoings are fixed and will not change in the chosen timeframe
• A variable interest rate (sometimes called a tracker mortgage) follows the Bank of England base rate so can go up or down at any time. This can give flexibility and allow you to benefit from any rate drops, but also leaves you open to rate increases which could drive up your repayments

To see what type of mortgage is suitable for you and your needs, speak to us today.

Generally speaking yes, but an independent valuation needs to be carried out on the property before a lender will agree to provide the mortgage. Some properties, such as specialist construction properties, are not accepted by all lenders however your mortgage advisor will be able to assist if this applies to you.

Different lenders will assess your income in different ways, depending on your circumstances such as whether you are employed or self-employed. By working with us you can ensure your income will be matched to a lender that will more likely accept your application, reducing the risk of failed applications and additional credit checks which could damage your credit score. Get in touch with us to find out more.

‘Loan to Value’, which you may see written as ‘LTV’, is basically how much of the property price you need to borrow. For example, if you were looking to purchase a £200,000 property with a £20,000 deposit you would have a 10% deposit, and your LTV would therefore be 90%. When looking at mortgages and remortgages the less you need to borrow the less of a risk you are to a lender, and your interest rates will be more competitive as a result.

The main benefit of remortgaging is to save money. If you’re on a fixed-rate mortgage for example, where the fixed term will soon expire, then you run the risk of rolling over onto the lender’s standard variable interest rate which is often far higher. Since you’ll start paying more interest, your mortgage will become more expensive so switching could avoid a rise in repayments.

Other benefits include:

• Fixing your monthly payments if you are on a tracker mortgage to know for sure what your outgoings will be and plan for the future
• Switching from an interest-only mortgage to a repayment mortgage to avoid the need to pay a large lump sum
• Changing the terms of your mortgage to be able to take a payment holiday, increase your monthly repayments or pay off your mortgage faster

Whatever the reason you’re looking to remortgage, the chances are there’s a mortgage out there that’ll offer you this flexibility and we can help you find it.

Remortgaging is usually fairly straightforward, and on average the whole process of actually applying to remortgage takes around 6-8 weeks. The trick is to start early so you have enough time to find the deal that suits you best, around 6 months before your fixed term expires. That way there will be enough time for the paperwork to go through, which means you can move from the fixed rate period on your current mortgage straight into your new mortgage. Get in touch with us as soon as possible so we have ample time to find and secure you the best deal. We manage the process from start to finish, so you don’t have to.

Put simply, we’ll search a wide range of providers to find the best mortgage deal for you. Getting a mortgage can be an intimidating prospect, but our friendly and professional advisors will guide you through your options and manage the whole process from start to finish.

We are authorised to give professional advice as to the best way forward for your needs and situation, as opposed to just providing ‘information’ which sets us aside from many other ‘experts’ in the field, and can give you more balanced advice than if you went directly to a provider like your bank or building society.

To start discussing your options and find the best deal all you need to do is complete our contact form and one of our advisors will be in touch.