If you’re heading towards the culmination of your mortgage term and have opted to remain within your current property, as opposed to moving, then you should definitely start looking at your options for a potential remortgage in Liverpool.
For those who are unsure of what remortgages are, this is where you switch to a better rate on your existing deal. As an experienced mortgage advisor in Liverpool, this is something we have worked with a lot and are usually able to help with.
The high street bank or mortgage lenders tend to rely on their customers sticking with what they’re comfortable with and not looking at their options elsewhere. It’s not unheard of for there to be cheaper offers available to you elsewhere, all you have to do is check out a price comparison website or contact a mortgage broker in Liverpool to compare the various deals for you.
If you’ve had your mortgage for a number of years, it’s possible that you could be on a low Bank of England tracker deal. You may even be paying an amount that is less than 1%. If this sounds like your mortgage situation, you might be thinking about leaving that mortgage as it is for now. Bear in mind though, that if the Bank of England base rate rises, your mortgage amount will too.
Subject to the typical affordability checks and assuming that there is existing equity within your property, then the possibility of increasing your mortgage for any plans for home improvements that you have, may be an option available to you.
This can be a very intelligent investment if you are good with your money. We regularly see that customers do this to do something like covering the costs of building an extension or converting their loft into an additional room.
You can borrow extra funds for most legal purposes, examples of this would be:
Remember by increasing your mortgage you will end up paying back more interest, so you need to be certain you are doing this for the right reasons.
It is not recommended that you start adding debt onto your mortgage, as over time you will end up paying back more interest overall, though by extending the length of your term, you will be paying less back per month.
You will also taking that debt and securing it against an asset, your home. Because of your secured loan, you would be at risk of repossession if you fail to meet your monthly repayments.
If you have any debt that you can afford to pay off or have credit cards that are at 0% interest, it is absolutely not recommended that you remortgage for debt consolidation.
That being said, if you need to reduce your monthly outgoings to avoid missing payments, (which could damage your credit rating), then it might be a something at least worth looking into.
We often find that generally your current lender will offer you a new deal to remain with them, calling this a “product transfer” or “retention” product. This isn’t always guaranteed and sometimes you have to get in touch with your lender directly, in order to see if this is available to you.
Some lenders allow you to make a product switch online without taking any of their mortgage advice or being required to submit any further information to them.
Whilst it may seem to be a much easier option in staying with the same provider and switching products, rather than put forward a new application to a lender that is different to the one you are with, it’s entirely possible that you could save a lot of money in doing so.
In the long run, you will likely find your mortgage journey to be a fruitful and rewarding endeavour. Whilst during this process there will inevitably be some positives and negatives, ultimately the final result will see you end up with one of the following; You’ll possibly be living in your dream home, with the potential to start a family.
Alternatively, you could find yourself with stepping stone property, getting your foot on the property ladder. Finally, you might end up with an investment property to provide you with an income boost as a new or continuing landlord.
Regardless of which of those mortgage paths you went down, you’ll eventually reach the end of your mortgage term and need to start looking at a new plan of action for the future. In some cases, people choose to simply sell their home, scouting the market for either a bigger or smaller next home.
If you are a landlord in Liverpool, you could possibly be in the market for selling your portfolio to the tenant(s) or another buyer, with your eye on financial adventures outside of the housing market. Despite these however, we often hear that the most popular option towards the end of a mortgage term is a Remortgage.
A Remortgage is the process of using the money gathered from taking out a new mortgage to pay off an existing mortgage. There are lots of different options that could be at your disposal when taking out a Remortgage, each of these ranging from small ones to slightly bigger ones.
By collaborating with Liverpoolmoneyman’s resident “Moneyman” Malcolm Davidson (host of our YouTube channel MoneymanTV) and utilising his over 20 years of experience in the mortgage industry, we put together a helpful guide for those looking at what to do next, when their mortgage term is about to finish.
At the start of your process, you’ll likely be taking out a mortgage deal that will normally last somewhere within the realm of 2-5 years, featuring lower fixed rates or with rates that are possibly discounted. Depending on the circumstances, your lender may even look at putting you on something like a tracker mortgage, wherein your mortgage would follow the Bank of England’s base rate.
Once your mortgage term is at its end, it is likely that you will be placed on the lenders Standard Variable Rate (you may see this just called an SVR). The purpose of which an SVR serves, is that the mortgages interest rates can either increase or decrease, a process entirely dependent on what the lender wishes to charge you.
Standard Variable Rates do not follow the Bank of England’s base rate like tracker mortgages would. Because of this, they’re seen as a little more risky, due to the fact that the lender is not legally obligated to charge the amount that might typically be recommended for a mortgage.
Generally speaking, SVR’s are more expensive mortgage routes to take, leaving many with a preference of Remortgaging for better rates. By Remortgaging for better rates, this would hopefully save the homeowner a little bit of money on their monthly mortgage repayments.
The majority of your term may be firmly behind you, but you still may feel like something isn’t quite right, like a change needs to be made for it to truly be called home. It could be that you need to create the space for an extra room or would like a larger living space for your kids or belongings.
We’ve also heard of cases, when speaking to Remortgage customers, of people doing this for a new kitchen, a new office, or even a loft conversion (a popular these days). Rather than just moving into a newer, bigger house, many instead look at their options of releasing the equity in their home with a Remortgage.
This type of venture is used to cover the costs of any potential improvements, alterations or modifications made to the property in question.
Whilst obtaining planning permission from a local authority sounds like quite a large and scary task, especially when tied to both funding and managing your own project, many homeowners would argue it’s a lot less stressful and more rewarding than house hunting, selling your home and moving out.
As time goes on, this may prove even more to be a smart investment choice, as creating more space and having good quality craftsmanship can possibly increase the value of your home down the line, which comes in handy if you ever decide to sell up or rent your home out to a potential buyer.
In some cases, some homeowners may prefer simply to Remortgage in Liverpool with a goal of finding themselves a better mortgage term. This could be by reducing the length of the term in question or even by switching to a product that is a lot more flexible.
Doing this will mean you will shorten the length of time that you will be paying back your mortgage over, so you won’t be tied down for a large amount of years. Something of note to remember though, is that this route will also mean that your monthly repayments will be higher than you’ve might’ve expected. The general rule of thumb is that the longer your term, the lower your monthly mortgage repayments will be over the duration.
Many choose for their mortgage term to be a little more flexible when they look to take out a remortgage. This is because of the benefits provided by this mortgage option, which tend to sway homeowners more towards that route. Through taking out a more flexible mortgage, you may gain the ability to overpay your mortgage.
Overpaying gives you the ability to pay your mortgage off quicker, as well as being able to carry the same mortgage and rates over to another property of your choosing, for in the event you want to find a new property at any point down the line.
Though a flexible mortgage might sound like a more than ideal option, they will usually come in the form of a tracker mortgage. As mentioned previously, these types of mortgages will follow the Bank of England base rate, meaning that your monthly mortgage repayments could fluctuate based on interest. This can make them a little unreliable when it comes to managing finances.
Every homeowner will have an amount of equity in their property. The amount that is there entirely depends on certain factors. You can work out the amount by calculating the difference between the remaining mortgage balance and the current amount your property is valued at.
As touched upon earlier in this article, the equity in your home can be used for home improvements, though that’s not all you’re limited to when it comes to what you can use your equity for. Some use their released equity to cover long-term care costs, to provide an additional boost to their income, to have themselves a nice holiday, to pay off an interest-only mortgage or to give themselves extra money to spend freely on whatever they wish.
Sometimes we find that Buy-to-Let landlords will use Equity Release as a means of covering their deposit for additional purchases towards their property portfolio.
Another option that is widely popular and works in tandem with Equity Release, is the process of releasing funds to pay off any unsecured debts that you may have built up over time.
Though it can seem straightforward, Debt Consolidation not only bases the amount on how much you’re owed and the value of the property, but it also factors in the current position of your credit rating.
What this means is that whilst you may be able to use some money to cover these costs, you’re limited from the offset in terms of the amount that they’ll even let you borrow.
On top of this, to pay off your previous mortgage and your debts, you will need to borrow more than the mortgage amount that you have left on your balance. Because of this, you are almost guaranteed that your monthly repayments will be higher than they were before.
Though not an ideal situation to find yourself in, you at least have the comfort of knowing that should you find yourself in need of a back-up plan, you do have some mortgage options to choose from.
If you happen to have a damaged credit rating, you may still be able to obtain a mortgage, though it is not an easy process and does require Specialist Remortgage Advice in Liverpool before you can even go forward with it.
Even with a professional by your side, you must remember that there are still no guarantees that you will walk away at the end of this with a mortgage.
We recommend that you always seek mortgage advice prior to consolidating and securing any debts against your home.
If you are nearing the end of your term and are looking at your home owning and remortgage options may be, please do Get in Touch with a trusted mortgage broker in Liverpool today and we’ll see what we can do to help you out.
Your dedicated mortgage advisor in Liverpool will discuss your circumstances and plans for the future, in order to determine the course of action to take on the next leg of your mortgage journey. It is our goal as a mortgage broker to ensure your mortgage process is quicker and easier than when you took out your mortgage the first time around.
Every homeowner, whether a First Time Buyer in Liverpool, Home Mover in Liverpool or going for a Remortgage in Liverpool, should know that overpaying your mortgage can make a significant difference in what you have to pay each month. The earlier you start overpaying, the quicker you can take advantage of it’s benefits.
Homeowners may not always be able to afford such an option. Sometimes life gets in the way. In hindsight overpaying is a great thing to start doing, however, we always find something ‘better’ to spend our money on.
A lot of the time it might just be as simple as remembering to overpay your mortgage. After all, it’s not something that immediately comes to mind when buying a home.
So, if you’re in this situation and are looking to overpay, what should you do? We’d recommend setting up a standing order that is payable to your lender each month. Have it go out alongside all your other payments, so it’s easier to manage.
For example, say your monthly mortgage payment is £450 per month and goes out on the 2nd of each month. You are able to afford an extra £85 per month and are keen to put that towards your mortgage payments. Set up a standing order of £85 to go out to your lender on the 2nd of each month too.
A great benefit here, is your mortgage payments will then total at £535 and because it’s going out as a regular payment, this will become a part of your monthly routine.
Another perk is that whereas a direct debit is controlled by the receiver, standing orders are controlled by the payer. Struggling for funds this month and can’t afford to overpay? Just cancel the direct debit.
Whilst it would be a shame to have to stop overpaying, you at least have the benefits you’ve gained so far. Depending on the lender, you may even be allowed to arrange reduced payments or take a “payment holiday” if you’ve been overpaying over a long period of time. It’s important to check with lenders though if you’re looking to do this, otherwise it could have an adverse affect on your credit report.
Overpaying is a great habit to have but it’s not something you have to do. If you don’t feel the need to, you don’t have to. That being said, knocking off a year or two from your mortgage term will be something definitely worth the effort.
Today we live in an uncertain economic environment. Yet, in a world full of opportunities, therefore we like to be prepared, and when it comes to our finances, there is one thing we all desire: being well informed.
As a group of experts, we believe that there are some excellent reasons to use a mortgage broker in Liverpool, so here we will talk about both methods’ positives and negatives so that you can make the best well-informed decision.
We know that there are many mortgages options out there, for example, you can still go directly to the lender, whether via a branch or online. However, we discovered that most people still use a mortgage broker in Liverpool due to the benefits it brings.
You may not have much experience, but one thing is for sure: We all like to save some money. So, when we think of mortgage advice, one of the options that first comes to mind is to go directly to a Bank or Building Society, so that you won’t have to pay a broker fee. However, that option became unattractive when credit scores came in a few years ago, and people started looking for other alternatives.
Another of the mortgage products on the market are those offered by lenders that are only available directly. This strategy gets implemented to attract a fair business distribution from consumers and brokers alike. By being exclusive, they can turn on and off these products when they deem it necessary, this method often confuses the market and consumers.
However, from 2014 onwards, lenders were no longer allowed to sell mortgages without professional advice. Many consumers felt that non-advisors had been trying to push solid advice on them, and they weren’t able to benefit from some of the consumer protection. A benefit that accompanies sales conducted by professionally trained mortgage advisors is why most people still use this service.
Because of this, in late 2014, it was not unusual to have to wait more than a month just for an appointment, and it still happens today. Not the best scenario when you’ve just had your offer accepted on the house. So, many began to make their applications through mortgage agents, who assure you professionalism and a mortgage service the same day, like ourselves.
Another important point when applying for a mortgage is affordability, no matter how good the deal is if it is not enough money. That is why we believe that a broker is a perfect option. With our mortgage advice in Liverpool.
We can assure you of the best deal and our service when you need it, in a professional and personalized way. When you call us, we try and put you through with a qualified mortgage advisor either immediately or at the very least, within the same day (unless requested otherwise).
Applying for a mortgage can sometimes be difficult. Each case is unique, and many reasons can complicate an application. Some examples are:
• Poor credit history.
• Self-employed income.
• Mixed source of deposit (savings/gift).
• Let to Buy (keep your current home and buy another).
• Contract workers / zero-hour contracts.
In previous years, lenders could stand out from the competition by merely offering a similar deal but better than another lender. In modern times this is very different, with lending criteria being what separates one lender from another.
However, as we mentioned before, when we talk about our well-being and finances, we like to be well informed and consult with experts on the subject. Your situation is unique, and what you need is not a better loan than someone else’s, but a better one for you and one that suits your situation.
That’s why we think that seeking professional mortgage advice in Liverpool is the best alternative. When you explain your position to an experienced mortgage broker in Liverpool, there is a chance they have come across something a little similar in the past, allowing them to personalize their service and help you through.
With a little luck, professionalism, and much work, your mortgage advisor will be able to recommend the most suitable mortgage for you at the lowest possible rate.
More than that, though, it’s not just about getting the mortgage. Even if the application itself is straightforward, our clients trust our experience and knowledge for more than that. For example, we will discuss how much they will offer for the property they are buying.
Our team of mortgage brokers in Liverpool can recommend other professional services such as solicitors and explain the different types of surveys and protection available to them.
Another significant advantage of using a mortgage broker is that they tend to be much more responsive than lenders might be. It’s not been unheard of for our team to work late at night, out of hours, working hard on client cases at full speed to ensure service is prompt, but also efficient. Our team is committed to offering our assistance when you need it and how you need it.
Another point that gets overlooked when looking at why clients may prefer a broker is that everyone is very busy. You may be self-employed in Liverpool, a full-time worker, a working mom and you need a mortgage but do not have time to do it, that is where your advisor can take the burden off for you.
Professional applicants especially see the benefits of these as they have clients of their own to charge for their services and appreciate the benefits of having an expert on board.
Technology is taking over, and the future of the mortgage market is no different. Perhaps in the future, we will see lenders who want to compete with the broker’s business. If this happens, they are unlikely to staff-up their branch networks.
Technology is excellent, and it is a service particular for customers who are happy to do business that way, especially for straightforward cases. However, for most people, there is an element of “reality,” a “human touch,” that you can’t get anywhere other than talking to a mortgage counsellor yourself.
The mortgage broker becomes your ally and can provide you with a satisfying experience, a complete service with all the benefits that the client requires and attention that technology cannot offer.
Having said all this, the reasons for hiring a mortgage broker in Liverpool are vast and if you want to ask any questions related to mortgages. Seek or obtain this service from the hand of a professional team adapted to your needs, get in touch, and we’ll put you through with a mortgage advisor in Liverpool as soon as possible.
When your initial mortgage deal reaches the end of it’s term, your mortgage lender may offer you a new deal to stay with them. This process is known as a product transfer.
Unfortunately, lenders do not always reward customers for their loyalty over the years, and the offer they make may not be as competitive as deals you could have access to if you go elsewhere. They are more likely to reward a First Time Buyer in Liverpool than they are someone looking to Remortgage in Liverpool.
Whilst the concept of swapping to a new deal with your current lender may seem like an easy process online, it is always in your interest to see what other deals you may have access to. Lenders will also try to tempt you towards a new deal without actually taking mortgage advice.
This can be really dangerous because if you undertake this process without professional mortgage advice you are waving goodbye to all the valuable consumer protection you would otherwise have benefitted from by speaking with a Mortgage Advisor in Liverpool.
We have seen many examples of customers affecting these “follow-on” deals and locking themselves into a deal that doesn’t benefit them and isn’t appropriate to their personal circumstances. Because you opted out of advice, you then give up your right to making a complaint if you don’t like something.
We had a case in the past where a customer who was pregnant did this and was declined for a small further advance to fund some necessary home improvements down the line. She then had to pay a large early repayment charge to swap to a new lender who would grant her further funding.
If we think a product transfer is the most suitable deal for you we will recommend that as a course of action for you and if we arrange the mortgage for you as a Mortgage Broker in Liverpool then all the regulation and consumer protection will apply.
A second opinion costs nothing, and making a mistake when taking a new product can be costly. We will do our best to ensure you take the right path with your mortgage.
The Remortgage Market in Liverpool is highly competitive and savings can generally be made by searching the market for a new deal.
The Government launched a new home buying scheme back in 2013, called Help to Buy equity loans. After the credit crunch happened, the property market slowed down for a while. By introducing this new scheme, the property market could start to find it’s way back up again. Years later, it seems to be in a much better place than it ever was before it happened.
You gain no interest for the first 5 years, which means a lot of home buyers could now be reaching their repayment date. Missing your payments will lead to an increase in interest.
You may find the help of an experienced mortgage broker in Liverpool useful if you’re reaching or are already near the end of your 5 years. Our experienced mortgage advisor may be able to reduce your monthly repayments or help re-organise some of your finances.
The Help to Buy equity loan scheme works quite simply. The Government loans the applicant up to 20% of the properties value. You won’t pay any interest back for the first 5 years, though if the value of the property goes up, then you will need to pay more back to the government.
An example of this is; if your property were worth £130,000, you could borrow up to £26,000. However, if the property suddenly were worth £150,000, the amount owed would total at £30,000. In this case it could appear misleading to some, though this same process applies the other way also. If your property dropped in value to £110,000, your total to pay back would only be £22,000.
As with most mortgages, the minimum required deposit is 5%, though higher amounts can result in better mortgage deals.
Over our years of experience as a mortgage broker in Liverpool, we have had many customers who have used the Help to Buy equity loan, but aren’t entirely sure what they signed up to when they made the purchase.
The reasons for this could vary, such as the scheme not being properly explained or the applicant getting caught up in the excitement of the home buying process. No matter the case, it comes as a shock when a letter comes through asking you how exactly you plan to pay the loan back.
Technically the Government owns a percentage in the home, seeing as the 20% is only a loan and not a gift. This is why it is in your best interests to pay it back as soon as possible. If you still haven’t paid it back after the 5 year interest free period, interest will be added on, starting with 1.75% in the 6th year. Each year after that it increases beyond that.
It’s at this point that customers struggle to keep up their monthly mortgage repayments and a majority look at taking out a remortgage to help with this.
You might find that not all lenders will accept a remortgage from a Help to Buy applicant, though it is not unheard of and is something a mortgage broker in Liverpool could help you with.
We have a large number of lenders on panel and thousands of deals to choose from. We should be able to find you a lender to remortgage with, depending on whether or not you’re able to afford it based on your current income.
When raising capital to repay an equity loan, the maximum loan to value is restricted. Despite this, a lender may still consider going up to 95%.
A large plus side here is that repaying the equity loan in full will mean that any future property value increase will only benefit you, the homeowner, as you will have paid off the governments share. Failing that, an option you could look at is “staircasing”.
This is basically where you gradually pay off the loan over a set amount of time in instalments. This should theoretically reduce the percentage in your home that the government owns. Please note that this is only possible to do in multiples of 10.
Over the years, the inflation of property prices has far outweighed the increase of wages. In order to afford a property, a lot of people opt to buy with a friend or partner. This is because the combination of income allows for the lender to offer a higher mortgage amount.
You have someone to split your costs with, making it more affordable for both parties. However, this is a Specialist Mortgage and comes with some risk. In this article we will answer some questions we often receive and shed some clarity on buying a property with a friend or partner in Liverpool.
Some lenders will allow up to four people to co-own a property at one time. If one of the co-owners stop contributing to the monthly mortgage repayments, the other owners still have a right by law to stay in the property unless the court states otherwise. It’s with this in mind, that you need to be careful who you choose to buy a property with.
Any plans to increase the mortgage down the line, require consent from all involved. With this in mind, it is also important to discuss long term plans for owning your property.
Most couples who are married or in a civil partnership, opt for to take up a joint tenancy. If one of the applicants were to unfortunately die, the property would be passed along to the other owner. This is where mortgage life insurance comes in handy, as at that point the mortgage would be repaid.
If you are looking at remortgaging the property down the line, you would also need the consent of the other applicant to proceed.
Tenants in Common is sometimes chosen by the likes of relatives or friends buying a property together. This option allows you to own the property still jointly, but it doesn’t have to be equal shares. If one party is earning more money than the other, this works out well.
You can also act individually if you are a Tenant in Common, so you could realistically sell or give away your share, without the other person losing their stake in the property.
All parties involved are liable for the mortgage repayments, whether it’s a joint ownership or they have shares. If one member stops paying, the other(s) covers the payments to prevent any debt from building up.
Any arrears made on a mortgage may stop you from getting one in the future. Think of joint mortgages like this; you don’t each own 50%, you own 100% as a collective.
It can be really difficult to remove someone from a mortgage. Lenders need to know you can pay the mortgage yourself, without any assistance from the other party.
Nobody ever buys a property with a partner, with the intention of things ending. Taking out a mortgage could be the largest financial commitment you ever make and making any changes can be difficult. Therefore, it is important to assess your personal life before agreeing to something this big.
You may be able to demonstrate to a lender that since your ex moved out, you have been able to keep up your monthly repayments. However, this does not guarantee that a lender will agree to make it a sole name mortgage.
Lenders would much rather there be a second income in the event one person being unable to afford their half. The process of removing someone involves a brand new affordability assessment, much like they would when you first applied for a mortgage.
If your lender declines your request to do so, you should get in touch with your mortgage advisor in Liverpool to see if any other lenders would agree to let you transfer into your own name.
It may also be worth your time seeing if any family members can help you out. They can often gift a lump sum to reduce how much needs to be paid, or even put themselves on the mortgage to help out.
Even if you and your partner split up and you end up moving home in Liverpool, you are still responsible for repayments. Even if you agree with your ex that they will pay the full amount, should there ever be a time when your ex can’t pay, you are liable.
You need to keep an eye on your own credit report if you are sending them money each month. Whilst you may be holding up your end, they might not be and any defaults on their name also affects your credit score.
Being tied to an older mortgage also limits your ability to borrow for any new homes you are looking to buy, as the lender will take your current repayments into account, seeing them as existing credit commitments.
It is always a risk buying a home with someone else, so you always need to go in with open eyes. It is better to both agree on a plan in advance, to avoid difficulty if things ever do go wrong.
When you and your partner decide to end a relationship, it is never easy. Mostly if you have made a joint financial commitment and coming to agreements, those don’t run as smoothly as you’d like.
Times like these our Mortgage Advisors in Liverpool will take the challenge of these Specialist Mortgages, aiding you whether you’re Moving Home in Liverpool or looking to Remortgage the property once it’s in your name.
Below here are the three primary mortgage-related questions that our Mortgage Advisors in Liverpool get frequently asked when it comes to Divorce and Separation Mortgage Advice in Liverpool:
Of course, nobody goes into joint name home buying to split up, but these things are known to happen sometimes and to try to make changes to such a substantial financial commitment can prove challenging.
Regardless of gender, there may come a time when whoever is currently in the property will want to take over the mortgage as their own.
You may be able to demonstrate your ability to pay the mortgage on your own, without any help from your ex. However, this doesn’t change the way the Lender will see your case. At the point of application, you bought the property jointly, and in the event of arrears, they will be allowed to pursue either of you.
Before going ahead with a sole applicant on the mortgage, the Lender will have to go through all the initial checks from scratch, whether you’ve kept up payments or not. In any case, this is to fully ensure you can afford it as they can’t just take your word for it.
If need be, there is the ability to have a family member or new partner step in to replace your ex-partner on the mortgage. There are different ways of assessing your affordability with various lenders, so if your existing Lender says no we may still be able to help you out.
One thing you must remember when it comes to separation or divorce is even if you leave the family home and live somewhere else. You’re still liable for any joint financial commitments (i.e. your mortgage) that you both took out together.
Agreeing with the ex makes no difference either, as until get officially removed from the mortgage. You’re still liable for repayments if the balance falls into arrears.
When it comes to buying a new property, lenders will take the payments towards your old property into consideration. Because of this, it’s essential to speak with a Mortgage Advisor in Liverpool before you go ahead with making an offer.
Some lenders may be more generous when it comes to the amount they’re willing to lend you compared to others. When it comes to our recommendation on whom to apply for a Mortgage Agreement in Principle with, we’ll consider this.
Depending on your circumstances, this is entirely possible. Lenders’ credit scoring systems analyse a significant number of factors before they offer you a mortgage.
One of these, of course, is on-going financial commitments. In any case, this includes the mortgage payment you currently hold with your ex; alongside any other obligations, you may have.
Once we’ve taken all this information and uploaded it to our system. We’ll be able to provide an outline as to the maximum you may be able to borrow. This gives you a rough idea of your budget at the outset, and the amount of deposit you’ll be needing to put down.
Moving on from previous joint financial commitments can be quite tricky. Just bear in mind that as far as lenders are concerned, it’s all about the risk. They ideally look to avoid repossession situations at all costs.
Most people take out a single mortgage, but there’s plenty of reasons why you may want to take out a second mortgage. Here in this article, we will cover some common scenarios our Mortgage Advisors in Liverpool have come across to why you may require another mortgage:
If you currently have equity in your home and are looking for a second mortgage to release some of this equity, then we can help whether you are looking to release equity to fund another purchase, home improvements or something else.
If you are looking for Remortgage Advice in Liverpool, we can help explore all of your options. In any case, if you are currently on your lenders’ standard variable rate of interest, we can find a more competitive deal along with releasing your capital. A further advance from your current lender could also be an option here.
Suppose you are looking to help your children or grandchildren onto the property ladder in Liverpool. There are many products out there on the market that could help you achieve this. For a free mortgage consultation and to run through your options, please don’t hesitate to get in touch.
If you are looking for an additional mortgage to purchase an investment property, we can help you through the whole process. Whether you are a first-time landlord or portfolio investor, we can offer to buy to let mortgage advice in Liverpool.
Firstly, this is a situation that we come across quite often, usually due to divorce or separations. Whatever your situation, if you are currently named on another mortgage and would like to purchase a new property to live in.
For open & honest mortgage advice in Liverpool, please contact us. We can search 1000s of products on your behalf to find you the best deal tailored to your circumstances.
Is your current mortgage deal coming to an end? Do you need to borrow some extra money? If so, then it could be the right time for you to remortgage for more clarification speak with one of our Mortgage Advisors in Liverpool today.
We often see customers leave searching for a new deal too late and end up tumbling straight onto their lender’s standard variable rate. In any case, this highlights the importance of keeping on top of your mortgage. Making sure you know when your term is ending. Undoubtedly, a lender’s rate will be a lot higher than your current rate, meaning that your monthly payments drastically increase. A final reminder, keep on top of your mortgage, speak to a Remortgage Advisor in Liverpool, there is nothing wrong in thinking ahead and asking for advice.
We tell every customer to look around first before committing to the same lender. There could be hundreds of better deals with lower rates out there, don’t stick with the same lender just because it’s the more relaxed approach, but keep in mind. Lenders don’t reward loyalty; in fact, we have seen that they give offer better deals to new customers than to customers who have been with them for five years!
Some people like to get it over and done without speaking to a Mortgage Advisors in Liverpool or their lender, they do it by themselves online and switch over there, and then, this is called an execution-only mortgage. Yes, we see why people do this it’s easy to do, but you do not benefit from any consumer protection that you would’ve got by taking advice. Lenders love their customers doing everything online as sometimes applicants can mess things up and take out the wrong product, which can result in the borrower being on a higher rate than what they could’ve been on had they taken Remortgage Advice in Liverpool.
Do you feel like your home is due to some upgrading? Did you know that you can remortgage for home improvements? Some customers didn’t It can be a massive investment as some improvements such as extensions, or loft conversions can add more value to your property. People who are not looking to increase their property value and have found their “dream home” will also borrow for home improvements, there is nothing wrong with this, gives their home a bit of a makeover. You can increase your mortgage to pay for cosmetic alterations as well as structural work
If you need to borrow a significant amount of money, your lender will reserve the right to ask you for estimates for the tasks you intend to have carried out. You don’t necessarily have to use the contractor that provided the view to do the actual jobs.
You can raise capital on your property when you remortgage for almost any legal reason. In any case, this could be for large consumer purchases, gifts to help family members, to purchase a Buy to Let property or for debt consolidation.
Don’t forget; you will still be paying interest on a remortgage for a long time after you take one out, so you need to make sure that you are borrowing for the right reasons and that you will be able to meet monthly payments during the whole mortgage term.
Adding unsecured debt to your mortgage may result in you paying back more interest overall. In any case, this is because a mortgage term is usually much longer than the length of a personal loan (this isn’t always the case).
You will need to consider that you are taking unsecured debt and securing on your home. Which will not sit comfortably with everyone as you are under the risk of repossession if you cannot afford your mortgage payments down the line.
You will need to know that if you have 0% credit cards, the interest rates that apply to the debts that you are considering rolling onto your mortgage will start attracting interest too.
It would be best if you considered all of your options before deciding to consolidate debts. We think that the best way to make a decision is to seek Remortgage Advice in Liverpool from a remortgage advisor. They will evaluate all of your options and then recommend you with the best route to go down. They might even suggest that you don’t take a debt consolidation remortgage, it’s the option that will benefit you the most.
Often, consolidating debts into your mortgage leads to a reduction in your monthly outgoings. Some customers end up reducing their payments by hundreds of pounds.
Find out if this is the right option for you and contact us and speak to one of our Remortgage Advisor in Liverpool today, we can’t wait to assist you with all of your remortgage needs.