Mortgage Round Up 6
Mortgage Round Up
Welcome to our regular update on Mortgages.
Mortgages and Mortgage deals are constantly changing and so should you be interested in a obtaining a mortgage (be it for a First Time Buyer, Mover or re-mortgage), getting the right deal is vital.
Here at Box Financial Planning, we are here to help ensure you get the right Mortgage, Home Purchase Plan or Equity Release for you.
With the Bank of England’s Governor, Mark Carney commenting that he feels UK Base Rates should remain lower for longer (to help support the UK Economy during the current Global turbulence and weakness), Lenders have been re-jigging their rates and so there are some very competitive rates now out there.
This week, we are looking at several mortgages, which are available to the First Time Buyer.
The following information should not be taken as a recommendation and all mortgages are subject to status.
All mortgages are based on a Property Value of £300,000 and the borrower wishing to re-mortgage for an amount of either £225,000 (75% ‘Loan to Value’) or £270,000 (90% ‘Loan to Value’) – and highlight some of the better deals currently available!
| Type | Initial Interest Rate | Fixed/Discount Period | Loan to Value | Arrangement/Booking Fee | Final Interest Rate |
| Fixed | 1.89% | 2 Years | 75% | £999 | 3.99% |
| Fixed | 3.34% | 2 Years | 90% | £995 | 5.99% |
| Tracker | 1.44% | 2 Years | 75% | £499 | 3.99% |
| Discount | 2.49% | 2 Years | 90% | £199 | 5.19% |
| Discount | 2.39% | 3 Years | 75% | £500 | 4.45% |
| Fixed | 2.60% | 3 Years | 75% | £0 | 4.49% |
| Fixed | 4.39% | 5 Years | 90% | £999 | 4.49% |
Details correct as at 03/11/14
Some of the above mortgages include additional features such as ‘Cash Back’ on completion or free valuations.
As a reminder, in addition to the Arrangement/Booking Fees, there will be other costs such a Legal and Valuation costs as well as any agreed advice fees (our normal fee is 0.35% of the Mortgage Value although we do have some special deals on at the moment which may reduce this and some lenders may pay a procuration fee, which will cover some or all of this fee) which will therefore also need to be paid.
Please remember, what is right for one person may not be right for another and so linking all four aspects (Type, Setting up Costs, Interest Rate and Final Rate) and your personal situation into account, is required to ensure you end up with the most appropriate mortgage.
Our initial meeting/discussions are without charge or obligation, so please contact us should you wish to avail yourself of our whole of market, mortgage review service.
Next time, we will be looking at mortgages available for the home mover.
Interest rates can rise as well as fall and the post Discount/Fixed Periods may be higher or lower than stated.
The property may be repossessed if you do not keep up repayments on your mortgage secured on it.
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