The Two Types Of Isa Mortgage

There are two types of Isa, or individual savings account: the cash Isa and the equity Isa. In theory, you could use either one as a repayment vehicle for the capital part (the original sum borrowed) or your mortgage, running alongside an interest-only loan. Cash Isas These are like traditional low-risk savings accounts (also known as deposit accounts), with […]

The Types Of Lifetime Rate Mortgage

Lifetime rate mortgages are designed to be loans you can stick with for your entire mortgage term. (These are a different thing entirely from lifetime mortgages, which are a form of equity release plan for retired people.) There are lifetime rate mortgages with interest arrangements designed for all types of borrower The lifetime alternatives • Fixes Lifetime fixes offer ultra-cautious borrowers […]

Why an Offset Mortgage Can Be Better Than a Savings Account

Offset mortgages use your spare cash either just from savings accounts or the money in your current account too to reduce your monthly interest bill. (To find out more about how they work, read The offset mortgage.) You earn no money on the cash you offset, but because you are likely to be paying out more interest […]

Detailed Description of a Variable Rate Mortgage

The easiest way to think about variable interest rate mortgages (often described as Standard Variable Rate mortgages) is like this: • Mortgage lenders have to borrow the money they lend you • Their profit comes from charging you more interest than they are paying • When the interest rate your lender is paying goes up, […]

Why You Should Never Pay a Standard Variable Rate

(*Unless you have a poor credit history and even then you shouldn’t pay one for more than a few years)  The standard variable rate, or SVR, is the basic interest rate on which a mortgage lender bases all its mortgage deals. These average about two percentage points above the Bank of England’s base lending rate. So if the Bank’s base […]

UK Group Mortgages FAQs

Group Mortgages – Frequently Asked Questions   Q: How many people can you have in a group mortgage? A: The maximum number allowed by law is four.   Q: I have a bad credit history. Will this affect my chances of getting a group mortgage? A: Probably not any more than with regular mortgages. If your situation is now stable, […]

Group Mortgages UK

The Declaration of Trust It is a very good idea to draw up a legal agreement known as a “Declaration of Trust”. This is a document that sets out, in a legally-binding manner, the conditions of the joint ownership. For example: What percentage of the property each person will own What percentage of the deposit […]

Self Build Homes UK

The Two Types of Self Build Mortgages Until the last few years, self-build mortgage staged payments were always made after each stage had been completed, reducing the risk for the lender. This has all changed recently, and there are now two basic types of self-build mortgages: • Traditional – stage payments made in arrears • […]

UK Self Build

Self-Build Mortgages – How Do They Work?   Historically, self-build mortgages were quite restrictive, requiring you to have a pretty large cash reserve to get you going. The good news is that a whole new breed of lenders have emerged over the last few years who take a more flexible approach, and you are now […]

Interest Repayment Arrangements

Types of Interest Repayment Arrangements The most important consideration with any mortgage is how much is the interest rate and what type of interest repayment arrangement is it?   Read On For Full Details Fixed Rate Variable Rate Capped Rate Discounted Rate Fix and Track Mortgages