Help to Buy Mortgage Broker in Essex & Suffolk
Unbiased, stress-free Help to Buy mortgage advice from the top mortgage broker in Essex & Suffolk.
Looking to get on the property ladder with the Help to Buy scheme? Get in touch with Fees Free Mortgages today for friendly, free advice, or to discover your perfect mortgage deal.
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We are a Top Rated 2019 vouchedfor Help to Buy mortgage broker in Essex & Suffolk, checked more thoroughly than any other.
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Martin Bright could not have done anything better, he listened to my needs, acted upon them promptly to get me the best and the right deal.
Martin was a tremendous help with mortgage and life insurance advice. His knowledge and expert advice was a real guiding light throughout the complexities of navigating both these areas for the very first time. We wouldn’t hesitate to recommend him. He is personable, conscientious and everything you could hope for in an advisor.
What is the Help to Buy Scheme?
The Help to Buy scheme is a government-led initiative offering financial support to first time, and existing home buyers looking to get on, or re-enter the property ladder – mainly through the means of an equity loan. Applicants meeting the scheme’s requirements (listed below) are entitled to a 20% deposit loan (40% in London) provided by the government when purchasing their first home. There’s no interest on this loan for the first five years. Buyers are generally required to provide a deposit of at least 5% of the property price up front, whilst the rest is paid through a mortgage – with the maximum term available being 25 years.
Discover more about the Help to Buy scheme, and how Fees Free Mortgages can help find you the perfect Help to Buy mortgage.
How the Help to Buy Equity Loan Scheme Works
The Help to Buy equity loan (in England) is available to those looking to purchase a new-build property, and able to put down a 5% deposit. As we’ve briefly outlined, the government will lend you a further 20% deposit on top of this on an interest-free basis for the first five years (after this, interest is set at 1.75%, increasing on a yearly basis by the rate of inflation). This loan, combined with your initial deposit payment means you’ll only need to apply for, at most, a mortgage covering 75% of the property price – offering drastically reduced mortgage payments in comparison to buying independently with a small deposit.
Do I qualify?
In order to qualify for this part of the scheme, you must be looking to purchase a new-build property from a registered builder or construction company costing £600,000 or less. This must be your only home, meaning you can’t use the Help to Buy scheme to purchase a secondary or buy-to-let property.
Is there an income threshold?
There are no maximum thresholds for applicant incomes, meaning you can apply for the Help to Buy scheme, even if you’re on a high salary.
What about the government loan?
The 20% government loan itself can be paid back at any stage – but must be fully repaid within 25 years – this is also the maximum mortgage period available for Help to Buy properties. This changes if you move during this period – in this case, the loan must be fully repaid before the move is complete. If your property increases in value during this time, you’ll be required to pay a percentage of growth on top of the initial 20% lent.
A professional, calm, honest and genuine approach makes us the top Help to Buy mortgage broker in Essex & Suffolk.
If you are considering a Help to Buy mortgage, make sure to contact our fees free independent Help to Buy mortgage advisors, who will consider all your circumstances as well as available deals before offering impartial advice about which remortgage options are right for you.
Help to Buy Mortgages in 5 Easy Steps
The team at Fees Free Mortgages understand the importance of finding the right Help to Buy mortgage for you – that’s why we work on a commission-free basis and aren’t tied to any one lender. Our brokers and advisors are motivated by your needs and ambitions – meaning we’ll find the most suitable deal for you.
1. Initial Discussion
Our friendly fact-finding process will allow us to understand your goals and objectives. Your Help to Buy mortgage advisor will work with you to understand any hurdles to securing a mortgage at this stage – it’s hugely important to make sure you meet the scheme’s requirements before digging in. We’ll also explain exactly who we are and what you can expect from our service.
2. Review the market on your behalf
We get straight to work. We explore the maze of Help to Buy mortgage lending criteria for you. We’ll make affordability and credit assessments ensuring the recommendations we make are suitable for your individual needs.
3. Share our recommendations with you
We’ll illustrate the facts and figures in an easy-to-understand presentation, including the justifications behind the recommendations.
4. Package & submit a full Help to Buy mortgage application
Our Help to Buy mortgage submission route is much easier than an ‘in branch’ experience. Why sit through a 2-hour interview with the bank when we can do this for you?
5. Oversee the process to completion
If solicitors are introduced, don’t worry. We’ll assist you with their paperwork and we can talk to them on your behalf. We’ll act as the middle man right through to completion.
Help to Buy Mortgages for First-Time Buyers
If you’re using the Help to Buy scheme to secure your first property, you’re most likely seeking a mortgage with specific terms meeting the conditions laid out by the Government.
The good news is, many lenders offer tailored Help to Buy repayment mortgages, designed to meet every requirement of the Help to Buy scheme. With so many packages on the market at a wide variety of rates, we highly advise using an experienced mortgage broker to source the most suitable Help to Buy mortgage for you.
Fees Free Mortgage’s team of friendly advisors know these offerings inside out and will work quickly, impartially, and professionally to find you the best, most suitable deal on the market, taking into account the requirements of both the scheme and you as an individual.
Why Fees Free Mortgages?
We’ll find the best Help to Buy mortgage deal that suits you and give you expert financial advice while taking care of your whole mortgage application. Best of all, we’re FEES FREE! Putting the Free in Fees Free Mortgages.
Fees
Free
No mortgage broker fees – Many firms charge upfront fees, or fees on completion.
Personal
Service
No call centres and only 2 points of contact (Mortgage Broker & Case Manager)
Unbiased
Advice
We review the whole of the market, giving unbiased and independent mortgage advice.
Regulated &
Accountable
We are directly authorised by the FCA and fully accountable for the mortgage advice we give.
Free
Advice
Free financial advice, including; mortgage, life insurance & protection.
Ongoing
Contact
We handle all the hard work and keep you updated until your mortgage completes.
Fees Free Mortgages Services
We love providing whole of market mortgage advice in Colchester and believe that any interaction with us will be a positive experience because we do our best to help you achieve all your mortgage goals!
First Time
Buyers
We love helping you get on to the property ladder. We’ll oversee your first purchase from start to finish!
Buy-to-Let
Looking to jump-start your investments with a buy-to-let mortgage? We will find you the best deal!
Remortgages
.
We’ll review your options with your existing lender and compare them against the market for you.
Capital
Raising
What’s your next project? We can advise on capital raising for new cars, holidays or home improvements.
Free Mortgage Advice (FAQs)
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- Self-Employed
The current Help to Buy Equity Loan scheme has been extended until 2021 through a further £8.6 billion in Government funding. There will be a new scheme available from April 2021 until March 2023, subject to further confirmation. This scheme does not differ drastically from current offerings, with primary disparities seen in house price limits according to region.
The Help to Buy equity loan (in England) is available to those looking to purchase a new-build property, and able to put down a 5% deposit. As we’ve briefly outlined, the government will lend you a further 20% deposit on top of this on an interest-free basis for the first five years (after this, interest is set at 1.75%, increasing on a yearly basis by the rate of inflation). This loan, combined with your initial deposit payment means you’ll only need to apply for, at most, a mortgage covering 75% of the property price – offering drastically reduced mortgage payments in comparison to buying independently with a small deposit.
The help to buy equity loan is an integral part of the help to buy scheme, provided by the UK government to qualifying applicants. This loan is most often used to provide a 20% deposit ‘top-up’ to buyers purchasing new builds priced at under £600,000 in England. The Help to Buy equity loan is offered on an interest-free basis for the first five years (after this, interest is set at 1.75%, increasing on a yearly basis by the rate of inflation).
The structure of this equity loan alone makes the Help to Buy scheme ‘worth it’ for a huge number of qualifying home buyers, with the initial lack of interest providing a unique offering of financial breathing space, and the large deposit allowing for significantly lower interest rates than those seen on properties purchased with smaller deposits.
Of course, there are restraints to the scheme, notably its restriction to the purchase of new-build homes only – meaning it’s not necessarily for everyone.
In England, applicants qualifying for the Help to Buy scheme must be a UK resident, looking to purchase a new build home for the price of up to £600,000 using the scheme, and a mortgage. This property must be the applicant’s only home, and they must intend to live in it.
Applicants must be able to offer a minimum of a 5% deposit upfront in order to qualify for the further 20% deposit equity loan provided by the government through the scheme.
There is no maximum income threshold for the scheme, meaning even those on high salaries may apply providing all other conditions are met.
There are many lenders on the market offering specially developed and tailored Help to Buy mortgage packages. If working through the mortgage application process independently, it’s important to shortlist lenders participating in the scheme, before applying to those deemed most suitable. During the application process, lenders, with the assistance of a help to buy agent, will check your eligibility for the scheme, and assess your financial position before proceeding. Both parties must agree on the affordability of the mortgage. Besides this, help to buy mortgage applications are much the same as a standard residential mortgage application. It is highly recommended to source a broker experienced in the help to buy sector, who will work to match you with the most suitable help to buy a mortgage offering for your situation and requirements and assist with the application process.
Whilst landlords are generally entitled to £1000 of tax-free income per year, the vast majority of rental income is taxable, and must be declared as part of your self-assessment tax return, whilst those earning specifically between £1000 and £2500 must contact HMRC. Upon filing, income tax for landlords earning above the £1000 threshold will be charged in accordance with income tax banding if applicable. This banding is as follows;
Basic rate – 20%
Higher rate – 40%
Additional rate – 45%
Buy-to-let mortgage lenders generally require a higher deposit than that seen in typical residential agreements. Though this usually sits at around 20 to 30% of the property’s value, it is not uncommon for buy-to-let lenders to require a deposit of up to 40%. These large deposits provide assurance to the lender in the instance of tenant rental default or periods of vacancy.
If you find these high deposit rates daunting, you may wish to seek assistance from a reputable mortgage broker, like Fees Free Mortgages. As a result of our extensive industry knowledge and network, we’re able to source the most secure, suitable, and cheapest deals for our clients.
Buy-to-let mortgages are generally available on both an interest-only, and capital repayment basis.
Interest-only mortgages, a common choice amongst investors, particularly in the buy-to-let market, allows property owners to pay only the outstanding interest on their loan, meaning the borrowed balance is not due until the end of the specified period or term. This method significantly reduced monthly outgoings for landlords and generally allows for the maximisation of rental profits.
Capital repayment, on the other hand, requires the borrower to repay both capital and interest. There are marked pros and cons to each of these repayment options within the context of buy to let properties – it’s highly advisable to discuss these with a mortgage broker experienced in the buy to let sector.
Buy-to-let (BTL) is a common process by which landlords or investors purchase a property with the sole intent of letting for a profit. Though buy-to-let properties are primarily placed within the residential sector, the term also covers investment properties such as student accommodation. Those investing in buy-to-let properties effectively become landlords. Though investors may purchase buy-to-let properties with cash, a common method for securing an investment flat, home, or commercial property is through a buy-to-let mortgage.
When reviewing a buy-to-let mortgage application, lenders will take into account traditional factors such as income and expenditure, whilst noting the potential rental price of the property.
The phrase buying ‘off-plan’ refers to the process of purchasing a property based entirely, or near entirely on specifications, prior to building completion. This complicates the mortgage application and approval process slightly, because delays, setbacks, and the building process as a whole may lead to the need for extensions, renewed offers, and re-evaluation. This lengthy process often results in repeat fees – something we don’t believe in.
The team at Fees Free Mortgages are highly experienced in finding the best possible mortgages for off-plan purchases and know the application and re-evaluation processes inside-out. If you’re looking to buy off-plan for your buy-to-let property, contact one of our friendly advisors today – we’ll be happy to help you.
Though some lenders insist on reviewing at least two years of certified accounts when processing mortgage applications, it is entirely possible to obtain a self-employed mortgage with only one year of accounts – though options may be slightly limited. If you’re self-employed and looking to apply for a mortgage with one year of accounts, seeking the assistance of an experienced mortgage broker may be the best option to help ensure your application’s success.
Though bad credit can prove to be a significant hurdle to self-employed individuals trying to obtain a mortgage, it doesn’t necessarily make approval impossible. It is highly advisable to contact an expert advisor or broker prior to application and to apply their knowledge and experience throughout the application, submission, and negotiation process.
Fees Free Mortgages’ experienced advisors will work with you from the very beginning to create the strongest possible application, before sourcing the most suitable lenders for a self-employed individual with bad credit through our extensive network of lenders.
There is no decisive test available to indicate whether or not individuals are self-employed, however, the UK government has specified an extensive list of indicators and guidelines, many of which revolve around your level of independence. According to these indicators, you’re likely to be classed as self-employed if you:
- Have the power to dictate how a business is run.
- Risk your own money in the business.
- Are responsible for the losses as well as profits of your business.
- Provide the main items of equipment you need to do your job.
- Could send a substitute or are free to hire other people on your own terms to do the work you have taken on and pay them at your own expense.
- Are responsible for correcting unsatisfactory work in your own time and at your own expense.
- Have the ability to work for others at the same time as providing services for a particular employer.
Though document requirements vary slightly from lender to lender, most lenders will require the following documents or evidence as proof of income:
- Two or more years’ certified accounts (it is possible to obtain mortgages with one year of accounts, but options may be limited. Further evidence of regular work of income may assist in convincing lenders of your ability to repay in this case.)
- Evidence of dividend payments or retained profits (if you’re a company director)
Proof of identity will be required by any reputable lender. This may be required in the form of a:
- Passport
- Driving licence
- Council tax bill
- Utility bills dated within three months
- Bank Statement (these may be examined in-depth as an additional method of establishing mortgage affordability)
Though not essential requirements, having a good credit history, and significant deposit hay help bolster your application.
The way in which self-employment income is calculated for a mortgage varies depending on your personal role. Whilst sole traders can expect lenders to look at your pre-tax net profit over the last two years, limited company directors are generally required to submit their salary and dividends from the same period. Company profit may also be taken into consideration, depending on the individual requirements of the lender.
Gaps in income, or high income peaks can affect mortgage calculations equally. If you believe income calculation may be a significant hurdle in your mortgage journey, contact an experienced mortgage broker, such as Fees Free Mortgages. Our friendly advisors are happy to offer impartial advice, and to guide you through the application process.
It is entirely possible to use remortgaging to clear debt, however, the lender you choose must have absolute confidence in your ability to repay the additional money borrowed as part of the capital-raising process – meaning you must, at least, have enough equity to support the capital borrowed. Remortgaging is a commonly used method of reducing monthly outgoings, especially in the case of repaying credit and store cards.
Employing the assistance of a mortgage broker experienced in the credit raising field could help find the best possible deals, and ensuring your finances, application, and evidence are as strong as possible – convincing lenders of your ability to maintain payments.
As is the case with many mortgages available on the UK market, capital raising remortgage rates are at least slightly negatively impacted by bad credit – with interest rates typically being higher for those with bad credit than good. Depending on the extent of past credit issues, the amount of equity required to obtain a remortgage can increase significantly.
Despite this, it’s not impossible to find a good capital raising remortgage deal when applying with bad credit. Employing the assistance of a mortgage broker experienced in the credit raising field could help find the best possible deals, and ensure your application is as strong as possible.
The vast majority of static homes including detached, semi-detached, terraced, and bungalow homes, alongside flats, apartments, maisonettes, shops, garages, surgeries, retail space, holiday homes, bars, pubs, and restaurants can be used in capital raising mortgages and remortgages. Of course, this list extends beyond what can be seen here.
In contrast to this, mobile homes of any kind are generally exempt from capital raising mortgages, this includes mobile homes, caravans, canal boats, and barges.
If you require further clarification on whether or not your property is a suitable fit for capital raising mortgages or remortgages, get in touch with a reputable mortgage broker, whose advisors will be able to offer informed, expert advice.
Capital raising mortgages are a fast way to secure funding for a huge range of purchases, bills and projects. These may include;
- Home improvements, renovations, and upkeep, including extensions, heavy refurbishment, restoration, or redecorating.
- Large purchases such as university fees, holidays, weddings, and property deposits.
- Business investments, including asset acquisition and expansion.
- Debt consolidation, including CCJs, credit cards, defaults, legal bills, and tax.
- Divorce, commonly covering legal bills, paying off ex-partners, or buying out properties.
A good route for those who have paid off a significant portion of their existing mortgage or those who have come to the end of their current mortgage’s term, a capital raising remortgage is a secured loan which allows for the release of equity from an owned property.
When remortgaging to switch rates, a property owner would typically borrow an amount equivalent to their outstanding loan, those looking to secure funds generally borrow a higher amount. Though the borrower’s mortgage is now larger, it is affordable, and additional funds previously tied up in a mortgage can be used for a wide variety of purposes, including large purchases, and debt consolidation.
Improving your poor credit rating takes some time and some of the best practices include:
- Make sure you are on the electoral roll
- Make sure you close out any credit accounts for any stores that you do not use
- Make sure you pay your bills in full, and always on time
- Use and pay off your credit card on a regular basis to show lenders that you can be responsible with your money
- Consider a guarantor loan if you are sure you can fulfil the repayments
- Keep an eye on your credit report and ensure all details are correct
To get a mortgage with bad credit may be more tricky. Having bad credit somewhat limits the mortgage options available to you and increases the interest rate. However, there are still options available to you and we advise you to get in touch so that we can present you with the best options available to you.
Having bad credit could affect your mortgage application. You can, and should, check your credit rating before you apply for a mortgage. This will help you identify whether you will need to apply for a standard or poor credit mortgage, which increases the chance of your application being accepted. Experian, Equifax and Noddle are websites where you can obtain a copy of your credit report.
The mortgage broker fees depend on the broker you are using. Not all mortgage brokers even charge fees! Some brokers will charge upfront fees, completion fees or percentage fees. Fees Free Mortgages are completely fees free as we get paid by the banks that we recommend.
Mortgage advisors find mortgage rates that fit your budget while providing you with support and knowledge you may need to make the best decision for yourself when buying your property.
They will take you through the process from start to finish and work on your behalf with the different parties involved.
You do not need a mortgage advisor. However, there are many benefits to using one.
Using a mortgage broker ensures you get a fully comprehensive financial assessment and provide you with mortgage deals that you are almost certainly eligible for. Apart from saving yourself a huge amount of research time, you are also benefiting from the larger range of mortgage providers that are available exclusively to mortgage brokers.
With our independent status, you can be sure when working with us, we are providing you with unbiased advice.
Getting a mortgage without a deposit is now very rare, however not impossible. The only type currently available is guarantor mortgages. This involves adding a family member who already owns a house to your mortgage to be the guarantor.
If getting a mortgage without a deposit is an option you are looking to explore, get in touch and we can explain the available options.
In order to get a mortgage, you will need to be able to have some of your own financial input. Deposits are specific to each individual scenario. Typically, you could put down a deposit of as little as 5% of the property value. This is subject to meeting specific lending criteria which we will be able to assess for you.
Yes, you will need to pay Stamp Duty Land Tax on a Buy To Let property if it is your second property and not your main residence.
The amount you will have to pay depends on the purchase price. See details below:
Less than £125,000 – 3%
£125,001 – £250,000 – 5%
£250,001 – £925,000 – 8%
£925,001 – £1.5 million – 13%
£1.5 million and above – 15%
Information correct as of April 2017 – Source:www.gov.uk/stamp-duty-land-tax/residential-property-rates
The different type of survey that your lender may request to be done on the property you are planning to buy will depend on the type of property it is. It may be beneficial to carry out a full structural survey on your property before you commit to buying it.
The different types of surveys include:
- A home condition survey is usually used for new-builds and is the most basic and cheapest one available
- Homebuyers report evaluates both inside and outside
- A building survey is the most comprehensive as it assesses the full structure of the property and is often used for older properties.
Our mortgage brokers can help you understand what type of survey you may need for the property you are considering.
There are different insurance options that you can consider to buy a house.
You will most likely be encouraged by your lender to have buildings insurance before the exchange of the contracts. It is not compulsory to have insurance when buying a property but there are policies that can help in difficult situations. An example is income protection which would cover your mortgage repayments for a fixed period of time, should you find yourself unable to work.
We can help you understand the different insurance policies that you may need or want to buy a house, so that you can make the best-informed decision.
There are several costs associated with buying a house that you should consider.
On top of the mortgage deposit, there will also be other fees. They will vary from bank to bank but here’s an idea of how much you should be budgeting for:
- Mortgage booking fee £99-£250
- Mortgage arrangement fee £1000-£2000
- Telegraphic transfer fee £25-£50
- Valuation and survey fee £250-£600
- Searches £250-£300
- Legal cost £850-£1500 + VAT
- Stamp Duty depends on your situation
- Moving costs depend on whether you use a removal service or not
By using Fees Free Mortgages, you are avoiding the mortgage broker fees which can be as much as £495.
We can help you identify what the associated costs will be in your case when we assess your situation.
There are some government incentives out there to help if you are a First Time Buyer. There is a Help To Buy scheme created by the government and it consists of two parts; Help To Buy Shared Ownership and Help To Buy Equity Loans.
Shared ownership means you can buy shares (25%-75%) of a new or existing property and pay rent on the remaining portion.
The equity loan option means you can get a loan of up to 20% of the purchase cost from the government. This means your deposit only needs to be 5% and your mortgage will be 75%.
Additionally, there is the help to buy ISA, which rewards you with a bonus of up to £3000 if you pay in £1200 in the first month and £200 a month thereafter.
If you’d like to know more about these government incentives, please get in touch with Fees Free Mortgages.
Here is a rough guide on how much it costs to remortgage. However, the actual costs will depend on the current mortgage deal you have with your lender, as well as the value of your property.
Mortgage arrangement fee: This can be paid upfront or added to your mortgage debt. This would then mean you’d pay interest on this fee. Cost £1,000-£2,000
Mortgage broker: no extra cost when you go with Fees Free Mortgages
Valuation and survey fees: Cost £250-£600
Legal costs: Cost £850-£1,500
The best time to remortgage is not when the mortgage term comes to an end. You need to start looking for a new mortgage deal at least three months before the expiry date of your current mortgage. However, if for any reason you feel you’d like to find a better mortgage deal for yourself earlier than three months prior to the end of the term, please get in touch and we can help you find the best solution.
The first thing to consider when planning for a remortgage your home is to calculate how much you can afford to pay. Consider any additional fees you may need to pay such as an arrangement fee to your new lender or an early repayment fee for leaving your current lender. There may also be legal and valuation fees.
When working with Fees Free Mortgages, we take all of that into consideration when presenting you with the best options for your remortgage.
Most people are able to remortgage their home and there are plenty of incentives to do so. We can help you explore the different options available to you and help you sift through the numerous deals to find the right one for you when you are ready to remortgage your home.
Unfortunately, your mortgage does not disappear when you move home. Mortgages can be transferred from property to property. It is likely that when buying a new property, you will need to borrow more money. Your lender will ask to value the new property. When moving home, you should check if there are early repayment charges or exit fees with your current lender. When working with our fees-free mortgage brokers we can help you find a deal that helps to cover any of these potential fees that could apply when you move home.
Here is a rough guide on how the mortgage application process works when you work with a mortgage broker.
The more you can save for your deposit, the better your mortgage rate can be. However, as a minimum, you will need 5% for the deposit.
Once you have a property you’d like to buy, Fees Free Mortgages brokers can assess your needs and circumstances to recommend a mortgage deal that is right for you. When you are happy with the deal, you will receive an Agreement in Principle (AIP) giving you an approximate sum of how much the lender is willing to let you borrow. This allows you to place an offer on your chosen property and if accepted, you will need to appoint a solicitor to handle searches, surveys and contracts. At Fees Free Mortgages we help you throughout the entire mortgage application process.
To determine whether you will be accepted for a mortgage you will need to check the criteria put in place by the different lenders. All lenders have their own criteria to determine the mortgage offer.
Generally, they may look at things, such as:
- how much you wish to borrow
- how much deposit you have
- your employment status and income
- your credit rating
- your current debt
- your outgoings
- your age
- the length of the mortgage term
- whether you are applying on your own or with a partner
All this data, as well as a thorough analysis of your credit file, will need to convince the lender that you are able to repay your mortgage for you to get accepted for a mortgage.
It may require more effort to get a mortgage when you are self-employed because you have to prove to the lenders that you are able to afford a mortgage. On top of having to provide all the essential documents, business owners, including sole traders, limited company owners, contractors and freelancers will need to provide extra information.
Sole traders are required to also provide a minimum of one year’s finalised accounts or an SA302 from HMRC that is dated less than 18 months old.
Contractors and freelancers working through a limited company will need to show their current contract, or alternatively personal tax returns or company accounts.
Limited company directors will have to provide their latest year’s company accounts or personal tax return as a minimum. Some lenders may ask for two or three years’ accounts.
Speak to our advisors to understand what your options are if you are looking to get a mortgage when self-employed.
There are different types of mortgages available.
First-time buyers mortgages are more favourable for first-time buyers than all the other mortgage types mentioned below, which would still be available if you were buying your first house. There are also government incentives that help first-time buyers.
Buy to let mortgages enable you to buy another property for renting purposes only. The rent payments you expect to receive will determine the amount you are allowed to borrow.
Repayment mortgages are where you pay instalments with interest on a monthly basis so that by the end of the mortgage term you would have repaid the entire loan.
Interest-only mortgages allow you to only pay the interest on a monthly basis and repay the capital at the end of the mortgage term. This can be a risky option unless you know you will be able to pay off the remaining money when the term comes to an end.
Fixed-rate mortgages mean you will be paying the same amount each month for a fixed period of time. If the interest rate falls you may, however, be overpaying.
Variable-rate mortgages are also known as Standard Variable Rate (SVR). Your mortgage rate will be determined by your lender but never higher than the base rate set by the Bank of England.
Tracker mortgages are determined by the Bank of England’s base rate.
Discount rate mortgages are only available for a fixed period of time but maybe one of the cheapest options available, as they are linked to SVR.
Cashback mortgages mean that you get a percentage of the loan back in cash from your lender. It is possible though, that these would not be the most attractive deals due to the interest rate and additional fees.
Offset mortgages combine your savings and mortgage together. These deduct the amount you have in your savings, meaning you only pay interest on the difference between savings and mortgage.
95% mortgages are a good option for those with only a 5% deposit. If house prices go down, there is a higher risk of going into negative equity when using this type of mortgage.
Flexible mortgages allow overpayment when you can afford it and may allow for missed payments if you’ve chosen to overpay. The mortgage rate, however, does tend to be higher on flexible mortgages.
Our mortgage advisors can assess your situation and make appropriate recommendations for the correct type of mortgage for you.
When working with our free mortgage advisor, the information they need begins with getting an overview of those who wish to be named on a mortgage. We would then perform affordability checks, assessing household income and outgoings. To provide you with the best deal options our mortgage advisor would need to understand what your objectives are.
Some of the documents that you’ll then have to gather include:
- Utility bills
- P60s
- Last three months’ payslips
- Proof of any benefits you receive
- Proof of ID (passport or driving licence)
- Current account bank statements for the last 3-6 months
There may be more paperwork required if you are self-employed.
Our fees free mortgage brokers are able to assist and guide you throughout the entire process, presenting you with the best mortgage deals.
Switching lenders may sometimes lead to early repayment charges. If your early repayment period has not come to an end before you decide to remortgage, you may be charged with a fee. The only way to avoid the early repayment charge is to wait until the deal ends. In some cases, the benefits of remortgaging to a more attractive deal may outweigh the charges incurred by exiting the current deal too early.
It is always worth getting advice from an independent mortgage broker before you make the decision though.
What mortgage you can afford to borrow will depend on several factors. The general rule is that the lender will lend you up to 5 times your salary. However, aspects such as your age, number of dependents and financial commitments will be taken into consideration to work out the realistic amount of monthly repayments you can afford, after all your living costs and other liabilities have been paid.
As part of our service, we can help you understand how much you can borrow, which will allow us to point you to the correct lenders.
There is no specific amount that you need to earn to be eligible for a mortgage. However, your financial security does play a part when lenders are considering you for a mortgage. At Fees Free Mortgages we can help you calculate how much you’ll be able to borrow on the salary you are on now.
When working with one of our mortgage advisors, we can help you get a mortgage, hassle-free. The process would start with the mortgage broker getting an overview of those who wish to be named on a mortgage. We would then perform affordability checks, assessing household income and outgoings. To provide you with the best deal options we would need to understand what your objectives are.
Some of the documents that you’ll then have to gather include:
- Utility bills
- P60s
- Last three months’ payslips
- Proof of any benefits you receive
- Proof of ID (passport or driving licence)
- Current account bank statements for the last 3-6 months
There may be more paperwork required if you are self-employed.
Our fees free mortgage brokers are able to assist and guide you throughout the entire process, presenting you with the best mortgage deals.
The way mortgages work is just like any loan. Mortgages are loans that help you buy a property. Typically, you need to put in at least 5% of the property value of your own money and the remaining amount is covered by the mortgage, loaned to you by a lender. You’ll then begin to pay this back on a monthly basis, generally over a period of many years.
No! Coronavirus will not stop you from remortgaging. Advances in technology mean that we can conduct our initial discussion via telephone and we can email you our recommendations. The application process too can be completed with online ID checks and digital documents.
Get in touch to start your remortgaging process now!
Timescales for a Purchase and a Sale to complete differ with each transaction. Here is an approximate guide:
- Approximate Freehold Sale / Purchase: 4-6 weeks*
- Approximate Leasehold Sale / Purchase case: 8-12 weeks*
*Please note these timescales are only an estimate and will depend on the complexity of the transaction.
Not all mortgage brokers charge fees! Some brokers will charge upfront fees, completion fees or percentage fees. Fees Free Mortgages are completely fees-free mortgage brokers in Essex & Suffolk, as we get paid by the banks that we recommend. We are completely ‘whole of market‘, independent and unbiased, so will always strive to get you the best mortgage rates and the mortgage deal that suits you.
If you are wondering where to start buying a house for the first time, contact us for free advice. Our mortgage advisors will take the time to explain the process in simple steps. We will also help to assist with other services you will need along the way for example; valuations, insurances and finding a solicitor.
A mortgage advisor will need to get an overview of those who are named on, or wish to be named on a mortgage. An idea of household income and outgoings will assist the advisor to make affordability checks. Most importantly the advisor will need to get an overview of your objectives, finding out exactly what you’d like to achieve!
Yes, you can borrow more money on top of your current mortgage, subject to meeting mortgage lender’s criteria. Many homeowners borrow more to improve or extend their home, or to consolidate their other outgoings.
Yes, in some circumstances you can either shorten or lengthen your mortgage term. It’s recommended that a qualified advisor get to know your situation and your motives to be able to advise accordingly on this.
How much deposit you need for a mortgage is specific to your individual scenario. Typically, you could put down a deposit of as little as 5% of the property value. This is subject to meeting specific lending criteria which we will be able to assess for you.
A fee free mortgage is exactly what it says – a mortgage without a mortgage broker fee. There can be many fees which could be involved when you mortgage or remortgage, however one fee that we don’t charge is a ‘mortgage broker fee’. Fees Free Mortgages just get paid by the bank – simple!
No, not all mortgage advisors charge a fee! Some brokers will charge upfront fees, completion fees or percentage fees. Fees Free Mortgages are completely fees free as we get paid by the banks that we recommend.
A mortgage product fee is often known as an arrangement fee. Banks usually offer lower rates but with a fee which can either paid upon application or added to the loan on completion. We’ll calculate whether it’s worth paying the arrangement fee for you!
If your preferences are that you would prefer an option where you can avoid the early repayment charges, we can base our research on this preference. A small number of lenders offer fixed or tracker rates where the entire loan can be repaid, in full, without penalty.
A mortgage advisor who is ‘whole of market’ is a mortgage broker who has access to the entire mortgage market. Some advisors are ‘tied’ and only have access to a certain panel of lenders.
Our ‘whole of market’ independent mortgage brokers in Essex & Suffolk give a personal touch of humility behind our mortgage support and the fee-free mortgage advice given, ensuring every interaction with us is a positive experience.
Request Free Help to Buy Mortgage Advice
Looking for Help to Buy mortgage advice? Get in touch with Fees Free Mortgages today. The top mortgage broker in Essex & Suffolk.
WHOLE OF MARKET MORTGAGE BROKER ESSEX & SUFFOLK