Deal Direct can help at any stage in the mortgage life-cycle.
A mortgage represents a huge commitment, and for most it is the largest single expenditure ever likely to be made.
Your mortgage begins as a first-time buyer. These days buyers wishing to purchase a home need to raise a significant deposit in order to be approved for a deal. High LTV mortgages are more freely available now than a year ago, but the rates offered are not as competitive as those offered for a large deposit.
Generally most first time buyers stay in their first property for 2 to 3 years before moving up the ladder, although in today's economic climate this is now easier said than done.
At this point depending on your contract, you can either 'port' your mortgage or pay off the outstanding capital owed with the proceeds of the sale. You then negotiate a new deal, once again the higher the deposit or equity you have the better the rate will be.
During the course of the mortgage you can negotiate to remortgage at any time providing you fit within a lender's mortgage criteria.
UK home-owners tend to move more frequently than their European counterparts and therefore it is likely for several mortgages or remortgages to be negotiated.
With each one it is essential to be fully aware of lending criteria and factors such as early redemption charges, which can affect the affordability of remortgaging or moving home. A badly timed product switch could land you out of pocket if you cannot 'port' your current deal or have to pay an early repayment change.
If you have a repayment mortgage, at the end of the term agreed for example 20 years, you will have repaid the capital and interest in full. With an interest only mortgage you will only have paid the interest, the capital will still need to be repaid and a adequate repayment vehicle is therefore essential.
The best plan is to pay off your mortgage either before or when you retire as at this time it is likely your income will reduce significantly.
No matter where you currently are in the life-cycle of your mortgage, Deal Direct can offer impartial advice as to which mortgage products best suit your situation when moving home or remortgaging.
