Mortgage Advice

The mortgage market is complex. There are thousands of products to choose from. Make sure you pick the right option for you.

Mortgage Advice Solutions

The mortgage market is complex. There are thousands of products to choose from. Make sure you pick the right option for you.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Our Mortgage Planning ProcessTailored to your needs and goals.
Mortgages Explained
What is a mortgage?
A mortgage is a ‘secured’ loan, which means that the loan is secured against the property being purchased until the mortgage is paid off. Sources of residential mortgages include high street banks, building societies and other types of less well known financial institutions.
How much deposit do you need?
You will typically need at least 5% as a first time buyer and commonly up to 20% to access the most competitive interest rates on the market. The source of the deposit may come from your current property, savings, inheritance or a gift.

Be aware that deposit loans from family and friends can still not be accepted as a source of deposit by some lenders, or can influence how much they may lend you.

Lenders are no longer happy to take all the risk of buying your new home, and so do not lend 100% of the value of the property. If you are unable, in the future, to pay your mortgage, the lender needs reassurance that it can take your home and cover the loan by selling it. Less risk taking means lower loan-to-value (LTV) ratios, and personal deposits need to be larger than in the recent past.
Who is involved in the process?
Estate Agents
Estate agents market properties to potential buyers and negotiate with them on behalf of their clients. Their role also involves valuing properties and comparing them to others on the market.

Solicitors are qualified to practise in any area of law but some may choose to become property specialists. They will check the contract and any legal documents associated with transferring a property from one owner to another. This process is commonly called conveyancing

Mortgage Lenders
Mortgage lenders provide the financing to buy a home. You can get a mortgage direct from banks, building societies or specialist mortgage lenders. It is always best practice to seek advice on which lender is best for you.

Conveyancers have the same role as solicitors who specialise in property. The main difference is that they are only qualified to deal with property law. Conveyancers often cost less than solicitors, as they are only trained in this area.

Surveyors provide valuations and surveys of properties. There are different types of surveyors – from those who provide basic valuations on behalf of mortgage lenders, to those who carry out full structural surveys to highlight any defects in a property.

Mortgage Advisers
Qualified mortgage advisers are able to provide assistance in sourcing the right mortgage for your individual needs and circumstances. They can use their expertise to guide you through the mortgage maze in a stress free manner.
What is the process?
1. Borrowing check
Amount, affordability, how much, deposit, fees and costs budgeted for, applied for credit file, seek a decision in principle

2. Offer accepted

3. Mortgage recommended and application sent

4. Borrowing check
Validation checks on property, income and expenditure. More information may be required as a result to satisfy lending requirements

5. Valuation instructed
Mortgage or structural?

6. Mortgage offer obtained
Mortgage or structural?

7. Exchange of legal contracts
check that your required protection provisions are in place

8. Completion of legal contracts
funds drawn down from lender

9. Get the keys
What documentation do you need?
Proof of Identification and Address
Passport or driving licence and proof of your address, e.g. utility or council tax bill.

Proof of Employment
Employer name, address and contact number or your own details and place of work if you are self employed.

Proof of Deposit and Gift
Proof of how your deposit has been obtained and where it is currently held; such as a bank statement. If a Gift is being used, written confirmation from donor (typically parents) and supporting bank statement is needed.

Proof of Outgoings
Last 3 months bank statements and a detailed breakdown of any current debts and commitments.

Proof of Income
Your last 3 months payslips and your latest P60 including any bonuses or commission. If self-employed you will need at least 1 years accounts or SA302 tax return forms.
Standard Variable Rate (SVR)
Your monthly repayments rise and fall in line with changes in your lender’s standard variable rate of interest, not necessarily linked to the Bank of England base rate.
Discounted Rate
Your lender gives you a discount against its SVR for a set period of time. It will normally revert to SVR after the initial period.
Fixed Rate
The interest rate is fixed by the lender for a set period. It will normally revert to SVR after the initial period.
Base Rate Tracker
During a set period the interest rate tracks the Bank of England’s base rate. The interest rate is expressed as base rate + x%. The monthly repayments change every time the Bank of England changes interest rates. Some are ‘Stepped Trackers’ where the margin between base rate and SVR changes at the mortgage anniversary.
Current Account
A single account from which you run your day-to-day finances and your mortgage. It is like a current account with a large overdraft facility secured against your property.
A similar idea to the current account mortgage but without a single account. Essentially, your mortgage debt is notionally reduced by the balance in your savings account; you pay interest on this notionally reduced debt.
The rate will not rise above a certain level for a set period.
Droplock / Switch To Fix
A discount or tracker mortgage, which has an option to switch to a fixed rate at any point within the initial discount or tracker period without paying any early repayment charges.
Linked to the London Inter- Bank Offered Rate. This is the rate commercial banks lend to each other, and set every day for different periods. (whereas Bank of England would change at most once a month). Most popular is the three month LIBOR. It is set for a three month period, and when this expires it is set for another three months. So in a year it will change potentially four times.
Foreign Currency
A mortgage that is not in the same currency as your main income. This means it applies to UK property and not only to properties abroad.
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