There maybe hundreds of mortgages out there but we will find the one that is perfect for you!

Whether its buying your first home, next home or you require a remortgage, your home is likely to be the biggest financial commitment that you make so it pays to get professional advice.  We are able to offer whole of market advice and we are with you every step of the way from putting in an offer all the way through to getting the keys!

There are many different types of mortgages out there so it can feel like a bit of a maze, with our helpful friendly service we will steer you through to get the right one for you.  To give you a head start we have explained the main types of products and features below.

Firstly, the main types of mortgage products are as follows;

Fixed

Mortgages, Protection,Mortgages taken out under this arrangement will have an interest rate which will remain the same for a certain period of time i.e 2 or 3 years.  At the end of this period they will most often than not revert to the lenders standard variable rate which can then flucuate and go up or down depending on trends in interest rates at the time.  Fixed rates are perfect for those who like to budget such as first time buyers or those who do not like taking risks as they know that whilst the rate is fixed the mortgage payments will remain the same.  Fixed rates generally work out more expensive than the other main type of mortgage product which are tracker rates.

Tracker

These types of interest rates can flucuate and go up or down, however they are tied into the movements of the Bank of England, they track this rate within a certain percentage.  Although no one can accurately predict what will happen with interest rates in the future there is the certainty that the mortgage rate will be within the fixed percentage for the life of the rate.  As with the fixed rate at the end of the tracker period the mortgage will normally revert to the lenders standard variable rate.  Although tracker rates historically are less expensive than fixed rates they are more suited to those who are prepared to take more of a risk.

'Off set'

Although not an interest type, having an off sett mortgage can be a very useful indeed.  These types of mortgage are very popular for the self employed or those that have lump sum savings.  The way they work are as follows; say for example someone has a mortgage of £80,000.00 and savings of £20,000.00 they can elect to 'link' the savings to the mortgage.  Instead of receiving a credit interest on the savings they instead do not pay interest on the same amount of the mortgage. 

This benefit can work in two main ways, firstly one can chose to reduce the monthly mortgage payment by the amount that is being 'off sett' so in this example the client would make the mortgage payment based on a £60,000.00 mortgage.  Secondly instead one can chose to still pay the original mortgage payment (based on £80,000.00) but instead the difference between that payment and the one in option 1 is paid off the mortgage or capitalised.  The result of this especially over a long period of time will be the mortgage is paid off a lot quicker.

Secondly, the main repayment mortgage types are as follows;

Repayment

Also known as Capital and Interest, this is where your mortgage payment to the lender contains both interest and capital,  Although initially in the early years the payment is mainly interest as the years go by the amount of capital repaid increases until the mortgage is fully paid off at the end of the term.  This option is especially popular with those that like the security of knowing their mortgage will be fully paid off with no hidden surprises.

Interest Only

Under this arrangement only interest is paid to the lender, this means that at the end of the agreed term the amount borrowed will need to be repaid.  This route is popular with those that already have savings in place to repay the balance or those who prefer to save during the mortgage term to provide a pot to use to repay the mortgage.  Although this option can be less expensive overall compared with the repayment option is it considerably more risky as in most cases there will not be a guarantee that the investments will have performed well enough to provide the full amount required to repay the mortgage.

For further information please do not hesitate to contact us, click here for more information.

Your home may be repossessed if you do not keep up repayments on your mortgage.