Mortgage Round Up

Welcome to our new 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 for you.

This week, we are looking at several mortgages, which are available to the homeowner, who may wish to re-mortgage.

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         2.39%  2 Years  75% £999  3.89%
    Discount     1.70% 2 Years 75% £999 5.54%
Discount 1.95% 2 Years 75% £0 4.75%
Fixed 3.79% 2 Years 90% £990 5.64%
Fixed 4.19% 2 Years 90% £995 4.24%
 Discount 2.45% 2 Years 90% £999 5.59%
 Discount 2.49% 2 Years 90% £995 5.19%

 

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.

How the setting up costs interact with the overall cost of the mortgage is vital – for example if you don’t want to go through the hassle of re-mortgaging every 2 years or so (or the cost of doing so is prohibitive), the 4.19% Fixed deal may well be better than the 3.79% Fixed Deal – as the ongoing interest rate is much lower.

In other words – the initial rate is not necessarily the most important rate and therefore all three aspects (Setting up Costs, Interest Rate and Final Rate) and your personal situation needs to be taken into account, 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 first time buyer.


Interest rates can rise as well as fall and the post Discount/Fixed Periods may be higher or lower than stated.

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