Remortgaging: Avoid the Variable Rate Trap
June 22nd, 2008
If your mortgage deal comes to an end in 2008, you could be in for an unpleasant surprise.
A report released by the Financial Services Authority recently stated that during the course of 2008, 1.4 million homeowners are expected to come to the end of their cheap, short-term, fixed rate deal*.
So, if your mortgage deal comes to an end this year, you face the prospect of paying an extra £210 per month on your mortgage payments, that’s an annual increase of £2,520*.
What can you do? Firstly, the best advice is to get advice. Many people take on the task of remortgaging on their own. This is not a simple task at the best of times, however, when you consider that the Credit Crunch is making good mortgage deals harder and harder to come by it becomes near impossible.
Secondly, choose independent. Because we are independent, we can search the whole of the mortgage market to find the best type of mortgage at the best rates. This is far better than the mortgage best buy tables you will find in newspapers and on the internet, which do not explain the fees, charges and the substantial deposits required, that would otherwise make those mortgages unattractive.
More importantly, we look at your individual circumstances and we will never recommend a mortgage that you can’t afford the repayments on. We can also help you to get a better mortgage deal on any buy-to-let properties you have.
As lenders tighten their criteria on who can borrow money from them, many people are at risk of not being able to find a better deal at all, particularly the self-employed.
The number of mortgage deals has drastically fallen over the last few months, so there is not a great deal of choice at the moment. At Torquil Clark Mortgages our independent mortgage advisers can help you find a good deal. We have access to mortgage deals you won’t find in your local high street bank or building society and with our expertise we can help you get to the good mortgage deals before the lenders withdraw them.
Unlike many other mortgage advisers or lenders, we don’t charge an administration fee, which could save you between £499 and £999. We can also deal with all of the hassle that comes with applying for a mortgage, like completing the application form, dealing with the lender and the solicitors and provide you with updates when necessary.
If your mortgage deal isn’t due to run out for a while, you can join our Mortgage Club. Simply tell us when your mortgage deal ends, and we’ll contact you nearer the time.
To speak to one of our independent mortgage advisers or to join our Mortgage Club, call 0800 294 7142.
*Financial Services Authority – Risk Outlook 2008.
Author: Jenny Challenor
June 22nd, 2008
Category: Mortgages.
