Mortgages
Residential
Even in today’s environment there are still thousands of products offered by a variety of lenders, both high-street names and private banks.
Not only can the choice, at times, seem daunting, but these days arranging a residential mortgage or remortgage isn’t as straightforward as it seems.
Of course there are the usual questions, such as the type of loan you should go for — fixed or tracker, for example — but in the current market lenders are far stricter with their lending criteria and competitive rates far harder to find.
Because of this, the knowledge and contacts of an independent mortgage broker such as Newquay Mortgage and Pensions can be the difference between a costly mortgage and a competitive one.
Importantly, we have access to mortgage products that may be unavailable elsewhere on the market, which can make a real difference at a time when rates as a whole do not seem as competitive as they have been in the recent past.
For those of you who may be looking at a larger than average mortgage, we have years of experience in the high-net-worth arena, and are able to offer bespoke products made to fit your unique requirements.
Equity Release
Equity release schemes enable older home owners to tap into the value of their property without the need to sell up and move out.
There are two main types of scheme – lifetime mortgages and reversion schemes – and deciding which to go for is just one of the decisions you will need to make if you decide to explore this option.
Taking advice, both financial and legal, is key. Extracting money from your home could impact upon many aspects of your finances, from your eligibility to means-tested benefits to the value of your estate when you die.
You need to make sure you understand and plan for any negative financial implications of equity release.
Buy To Let
Buy-to-let is a British phrase referring to the purchase of a property specifically to let out. A buy to let mortgage is a mortgage specifically designed for this purpose.
As for all property rental, the benefits for a buy-to-let landlord can include a stable income from rental receipts, as well as an accumulation of wealth if house prices go up over time. Rising house prices in the UK have made buy-to-let a popular way to invest.
The main risk involves leveraged speculation where the landlord takes a loan to buy the property, with the expectation that the house can be sold later for a higher price, or that rental income will meet or exceed the cost of the loan.
A Buy-to-let mortgage is a mortgage arrangement in which an investor borrows money to purchase property in the private rented sector in order to let it out to tenants.
Buy-to-let mortgages have been on offer in the UK since the late 1990s.
Lenders calculate how much they are willing to lend using a different formula than for an owner-occupied property.
Other Mortgages
Self-build mortgages
A Self Build mortgage scheme typically will provide a Maximum loan to value of 75% of the final building, valuation amount.
Read more: Self-build mortgages
Adverse credit
Your ability to obtain a mortgage is greatly influenced by your credit history. A mortgage applicant with a good credit history is obviously attractive mortgage Lenders. A mortgage applicant with a bad credit record will find their options more limited.
Read more: Adverse credit
Affordable home
The term ‘affordable housing’ refers to the various housing association and Government schemes designed to help people meet their housing needs.
Read more: Affordable home
Section 106
With most new developments, a proportion of houses are often sold as ‘affordable housing’. Local authorities often attach conditions to the way these houses can be sold through what are known as ‘section 106 agreements’ or ‘restrictive covenants’.