Mortgage Options

“Finding a Mortgage that is right for you"

“Mortgages are emotional!
We know it, that’s why we care about what we do for you”

Did you know that finding a home and financing it is classed as one of the most stressful events in a person’s life?

Why?

We specialise in finding the right home loan for you, so you do not have to!

With over 20 years’ experience, we understand that the UK property market, and the open market of mortgages / property loans out there available to cater everyone is needs.

The MTGE UK way
“The key to good business is to listen, learn, research, evaluate, discuss, then execute a plan of action – together” Different Mortgage Types
Mortgages unwrapped:The biggest things to factor when researching the best property loan for you are interest rates, repayment methods and fees. It’s not about finding the lowest rate; it’s about understanding the right mortgage to suit your financial situation.

What does a repayment mortgage mean?

  • You repay some of the capital you have borrowed + some of the interest on the loan
  • Your aim is to pay back the original loan amount + interest over an agreed term
  • This allows you to build equity over a period, and own your home
  • If you move before the duration of your mortgage, you can repay the original loan, take out another mortgage, or transfer the deal you have over to a new home

Geek alert!  This process is called “porting your mortgage”

Suitability:  Repayment deals are great for homebuyers looking to build equity overtime with an aim to own the property outright.

What does an interest-only mortgage mean?

  • You only pay the interest on a mortgage amount monthly
  • You do not pay towards the capital borrowed monthly
  • The capital loan amount is paid back in full at the end of the mortgage term agreed.
  • Your monthly payments will be lower than a repayment mortgage
  • If you cannot pay the full loan amount at the end of the agreed term you may need to sell the property to cover what you owe
  • Paying back interest on the whole loan, rather than a repayment option of the loan amount which decreases your debt, you will end up paying more over time with an interest- only deal

Pro’s

  • This type of mortgage is great for people who wish to have lower monthly payments but know long term they will have the funds to pay off the mortgage in term agreed.

What is a fixed rate mortgage?

It is not complicated!

  • The interest rate is fixed for a set amount of time and is not affected by the Bank of England and how it affects the fluctuations in the market
  • You will be locked into a set rate for a set period of time
  • If you leave, you will be required to pay an exit fee

The fixed rate period (IRP) is the first two, three or five years of the term.  You will have a structure set rate over these time period.  This ends when the fixed term ends.

Pro’s:

  • ü Fixed rate mortgages are great for first time buyers who are budgeting for the first few years

    ü Fixed rate mortgages provide security

    ü Fixed rate mortgages are great for budgeting

    ü Fixed rate mortgages are great for homeowners who want to lock into a base rate, if they suspect the rate will rise

Cons:

  • Once you are locked in, it’s difficult to switch
    due to the hefty penalty you will incur.
    You will also not benefit from a fall in interest rates