Decisions and Mortgages
Mortgages and related decisions are some of the biggest and most important decision we make in our lives. Whether you are a first time buyer, or someone looking to remortgage, buy to let, or considering a business loan, an impartial advice from a qualified adviser is critical, so that you can avoid financial chaos, and ensure the best results and outcome.
First Time Buyers
Buying a house is one of the most important purchases you will make, and buying a home for the first time will be an even more daunting prospect. Add to this the vast array of mortgages available from a wide range of sources and you could be left with a high-stress, confusing decision.
Tips Before Getting Mortgages
To help you with making the right decision we have put together 10 top tips for you.
- Ensure that you are realistic when working out exactly how much you can afford to spend on your new house. You should ensure the intended mortgages are affordable (by doing a budget calculation) and it is wise to seek a Decision in Principle certificate, so that you know how much you can offer once you have found a suitable property. Even a newly built house will require some sort of furnishings, whereas older properties may require extensive work, such as re-flooring, tiling or renewing the wiring. Make sure that you factor in all these likely expenses, in addition to the purchase price, and other fees such as conveyancing and stamp duty.
- Read more tips for getting mortgages HERE!
Buy to Let Mortgages
Your property may be repossessed if you do not keep up repayments on your mortgage.
The Financial Conduct Authority does not regulate some forms of buy to let.
Becoming a private landlord should not be seen as an easy way of making money. It can be riskier and more complicated. It can also be very time consuming, more than most forms of investment, and there is no guarantee that house prices will rise. That said, having a second property to let to tenants could reap considerable financial rewards over time.
There Are 3 Main Differences in “Buy to Let” Mortgages:
- Rent Potential – the decision as to whether or not a mortgage will be offered is usually based on the rent you will earn as well as your income. In some cases your income is not ever considered.
- Interest Rate – buy to let mortgages have slightly higher interest rates.
- Larger Deposit – typically a minimum of 20% or 25% of the property’s value is required as a deposit.
When buying a second property to let, you will need to decide whether your primary objective is income or capital growth. In other words, are you looking to make a profit month on month or are you looking to make a profit through increased equity from the second property if it increases in value over time? The decision may affect the type of property you purchase, and the location.
More information about buy to let mortgages HERE!
When you remortgage, you are switching your mortgage to another deal, and frequently, another lender.
Remortgages can be used for various reasons. However, most people simply switch mortgages because it will work out cheaper for them. For example, the introductory discounted interest rate may have finished with your current lender; therefore you could potentially get a new discount rate, or a lower APR, with another lender. Another example is when you may need to re-mortgage to consolidate debts.
It is worth noting that a remortgage is not the best option in all cases. Even if the lender you are considering switching to is offering a lower APR, you must take into consideration the facts that:
- The new lender may charge you for valuation and solicitors fees, even if you have already paid these for your mortgage with your current lender.
- If you switch mortgage remember to look at the overall repayment period. You may be able to pay less monthly, but check the final repayment date of the mortgage as well.
Also you may be able to switch your mortgage deal with your current lender, avoiding any unnecessary costs. Many lenders will allow you to switch your mortgage deal reasonably frequently.
THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT.
Securing short term debts against your home could increase the term over which they are paid and therefore increase the overall amount payable.
You may have to pay an early repayment charge to your existing lender if you re-mortgage. You can choose how we are paid for mortgages; pay a fee or we can accept commission from the lender, or a combination of fee and commission.
We have access to Major Banks and Finance Houses within the U.K. offering business solutions covering every client situation. Access to Whole of Market and Totally Independent. Decisions can be made within 48 hours of application.
- Easy referral process for commercial mortgages and all other associated services
- True, totally independent advice and guidance
- Access to ALL lenders in the U.K.
- You may have been let down by an existing lender or broker
- You are unhappy or have lost faith in the current lender relationship
- The deal is complex
- Access to a commercial sourcing system
- You wish to obtain the best rates and terms
We will tailor the solution to your needs to drive a better deal. It’s all about treating customers fairly with choice and efficiency. With market conditions as they are it’s imperative you seek independent advice. Dealing with just one lender or a small panel of lenders is clearly not best practice and not best advice.
- Asset Finance
- Banking Services
- Blocks of Flats
- Buy to Let
- Commercial Investment Properties
- Development Finance
- Holiday Lets
- Industrial Investment (inc) Light Industrial
- Mobile Home Parks
- Nursing/Care Homes Residential
- Professional Practices
- Public Houses
- Residential Investment Properties
- Semi-Commercial (residential houses/flats above or adjacent to commercial premises)
- Short term finance/inc Bridging Finance
- Vehicle Finance
Not all forms of commercial mortgages are regulated by the Financial Conduct Authority.