Mortgage Sorter
Recommended UK Mortgages

Mortgage Guide Contents

Mortgage Basics Contents

 

What if I can't get a mortgage?

If, because of your age or financial situation, you can't find a mortgage lender willing to take you on, consider getting a relative or friend to guarantee your loan.

(For more about this, read Guarantor mortgages)


If this isn't a possibility, don't despair you still have options.

Begin by asking yourself if you really need the cash. If the answer is yes, and you are already a home owner, you could

• Downsize to a cheaper property to free up some equity,

• Take out a low-cost loan, or

• Look into equity release plans.



The pros and cons of downsizing


You get the cash you need without going into debt, but you have to give up your current home.


The pros and cons of a loan

You get the cash without having to move house, but you have to repay what youve borrowed.

And, because of your age and/or financial situation, to get a lender to take you on, you may have to secure the debt against your home which means you could lose it if you don't keep up the repayments.

The interest rate is likely to be higher than for a mortgage and the term will probably be quite a bit shorter, so the monthly payments will be more.

Of course, this does mean that, in the long run, your debt will cost you less as the following example shows.

Borrowing £20,000 using a repayment mortgage over 15 years at an interest rate of 6.5 per cent would cost £174 a month, or £31,360 in total.

Borrowing the same amount using a personal loan over 10 years at an interest rate of 8 per cent would cost £243 a month, but only £29,118 in total.


The pros and cons of equity release

Again, you get the cash without having to move house, but your estate must repay what youve borrowed plus any interest due after you die.

This is likely to require the sale of your house, so it can't be passed on to your heirs.

And because equity release plans are far from cheap, this could eat up the bulk of their inheritance.

In general, these plans are complex and poor value, and they should be treated as a very last resort.

If you still want to know more about them, read Equity release plans explained.

 

 

To read more on this subject please see the list below or your mortgage guide or your home buying guide

Read enough? Just want a quote? To get your best mortgage quote quickly and easily we can put you in contact with a recommended mortgage adviser. It's free, completely confidential and there's no obligation at all. Simply fill out the form below

Value of Property £  
    (eg 125000)
Borrow How Much? £
    (eg 92500)
Your Morgage Type

 

 

Read On / Mortgages for the Elderly

Mortgages for the over-60s

Am I too old to get a mortgage?

What if I can't get a mortgage?

Mortgage choices for the over-60s

 

Read On / Mortgage Basics

What is a mortgage?

A basic summary of the rules

How much can you borrow?

How do you prove your income?

How long are mortgages usually for?

What will happen to interest rates?

 

Read On / Mortgage Guide

How to Choose your Mortgage

Types of Mortgage

Remortgages

Where to Find your Mortgage

Getting a Mortgage in Principle

Costs of a UK Mortgage

Your Mortgage TOP TIPS

Calculators

A to Z all UK Mortgage Types

 

Read On

Guide to Buying Home in the UK

Guide to UK Home and Mortgage Insurance

Life Insurance Guide

Glossary of UK Mortgage Terms

Mortgage News

 

Click here to see your Latest Best Buy Mortgages

 

 

 


 

 




 

Read more Mortgage Basics (list below)

See contents of Full Mortgages Guide

See contents of Home Buyers Guide

I've read enough for now and want to get a free Quick Mortgage Quote

 

 


Mortgage Basics

What is a mortgage?
A basic summary of the rules
How much can you borrow?
How do you prove your income?
How long are mortgages usually for?

Back to main contents

 


 

Get a custom rate and see
how much you could save by
filling out this quick form
below.

It's a FREE, no-obligation service.

Value of Property
£
 (eg 159000)
Borrow How Much?
£
 (eg 125000)
 Your Morgage Type
   











Browse over 200 Free Mortgage Tips

Your Complete Guide to UK Mortgages
Find Out How to Win the Race to Buy Your Home - Home Buyers Guide
How to Sell Your Home
Learn How to Save ££s by Remortgaging
Read the Insider Info on Home Insurance
Best Buy UK Mortgage Tables
UK Mortgage Calculators
First Time Buyers
Self Employed Mortgages
Bad Credit Mortgages
Overseas Mortgages
Common Questions / FAQs
Mortgage Definitions
Mortgage Lenders UK List
LATEST MORTAGE UK NEWS

Site Help

About Us
Your Privacy
Contact Us
HELP
Mortgage Guide Site Map
Tip Our Charity






Social Bookmark Us (Please ;-))
























 

 

 

 

 

FREE MORTGAGE QUOTES
Call 0845 22 33 112
or Apply Online Fast and Easy
 
Great Selection of
UK Mortgage
CALCULATORS

Click here
  
See Today's Latest
Mortgages
BEST BUY TABLES

Click here