MORTGAGE ADVICE
There are so many types of mortgages available on the market and it can be very confusing to know which one is just right for you, so we have have outlined the basics below. To seek further advice from one of Direct IFA's qualified local mortgage advisors, please contact us today.
First Time Buyers
Buying your first home is an exciting time, but with so many plans to make and questions to be answered it can also be a little daunting. Direct IFA's specialist mortgage advisors can calculate exactly how much you can borrow and what that would cost, while also explaining the whole purchasing process including likely legal, survey and other costs involved in buying. Your advisor will then search out your ‘Best In Market’ mortgage from an unbeatable whole of market choice and provide a firm in principal lending decision so you can begin looking for property with complete confidence.
Moving Home
As an existing home owner you’ll understand how small differences in rate can have a major impact on your repayments and that it pays to get impartial whole of the market mortgage advice. And with over 3,000 mortgage products available and many more being released on a daily basis by most top High Street lenders it’s very easy to be misled by these offers which often come with hidden charges or conditions that could be costly in the long term. That’s why Direct IFA's will provide an experienced mortgage advisor, someone expert in every type of home move mortgage with the promise to find your very ‘Best In Market’ deal.
Remortgaging
There are of course many important considerations to make when remortgaging, but whatever the reason you have for seeking a house remortgage, Direct IFA's have experienced local advisors to guide you through the entire process. With access to many lenders with which to find the ideal remortgage deal, they take the hassle out searching the market so that you get the very best deal for your circumstances. If you would like mortgage advice, either by phone, online or face to face then contact us today.
Buy to Let
Whether you are looking to complete your first buy-to-let purchase, or are well on your way to building a sizeable portfolio, Direct IFA's understand that in any commercial enterprise every penny counts when you are trying to make a profit. That’s why our advisors can offer specialist buy-to-let mortgage expertise based on your specific needs and circumstances. Your expert advisor will not only find your ‘Best in Market’ mortgage, but will also complete all the paperwork for you, deal with the lenders, solicitors and surveyors throughout the process.
Help to Buy
The Help to Buy initiative was introduced by the UK government in April 2013 to allow first time buyers and home movers to purchase a new home with a 5% deposit. Having already helped over 10,000 first time buyers and home movers, the schemes are proving extremely popular. As one of the areas leading mortgage advisors we have specialist knowledge of both of the Help to Buy schemes, as well as guide you through the scheme and purchase process.
Self Build
If you’re planning a self-build, whether a first-timer or an old hand at this game, you’ll probably need funding in place to drive your home-building project through its various stages, and the chances are that at least some of that funding will come from a mortgage. When it comes to a home-building project there are so many more issues to be taken into consideration. For example, buying and paying for your land, cashflow, build costs, construction type, planning permission, affordability and where you’ll live during the build can all impact on your finance. Mortgages for self-build differs from residential mortgages as, with a self-build mortgage, the money is released in stages as the build progresses, rather than as a single amount and interest is only paid on the amount drawn down. Direct IFA's can help you through all the various stages of financing your own self build and make the process as smooth as it could possibly be.
MORTGAGE TYPES
Repayment Mortgages
With this type of mortgage, you repay part of the amount borrowed together with the interest being charged each month. In the earlier years of your mortgage, the majority of your monthly repayment is made up of interest.
However, towards the latter part of your mortgage term, the situation is reversed and the majority of your monthly payment will deduct from the amount borrowed.
Interest-only Mortgages
With this type, you are only paying interest each month. This means that although your payments will be lower, the amount you borrow will still be outstanding at the end of the mortgage term. You will need to have credible arrangements to pay off the mortgage, such as an Individual Savings Account (ISA), to avoid the property having to be sold.
Offset Mortgages
Typically, a current account, savings account, or both, are linked to your mortgage and, each month, the amount in these accounts is then offset against your outstanding mortgage. You are unlikely to earn interest on your savings which are offset.
Flexible Mortgages
You can vary the amount you pay each month and take payment holidays in some circumstances. It may help to reduce your mortgage with lump sum payments without incurring an early repayment charge.