Switch to a repayment mortgage while rates still remain low.
If you haven't already got a repayment mortgage, call Deal Direct for a comparison of rates and costs over the lifetime of your mortgage. With the current low interest rates it could be the best time to switch to a product that allows you to repay your loan.
According to recent figures from the Council of Mortgage Lenders around 35% of UK mortgages are on an interest only basis. Many lenders are tightening criteria for interest only lending and some lenders are no longer offering this type of product. If you currently have an interest only mortgage, you may find it more difficult to remortgage unless you can secure the lowest rates.
With a repayment mortgage you will pay back part of your debt every month in addition to paying interest. This obviously increases the cost of monthly payments, so it is important to get the best rates possible. Call Deal Direct for a whole of market comparison of products and rates and get the best offers available.
It is estimated that over £100 billion of interest only mortgages are due to end in the next decade. In the current climate, there is no guarantee that the sale of your property will be enough to repay your loan if you do not have any other repayment vehicle.
Call Deal Direct for professional advice on how to switch to a repayment mortgage and which type of product will suit your situation best. We can help you look at all aspects of your mortgage and source the best rates available in the market.
Contact Deal Direct today for a competitive mortgage quote.
