Let’s get things moving
Whether you’re a first time buyer or looking for a holiday home, getting ready to up- or downsize, or thinking about buying an investment property, we can help.
When it comes to mortgage advice we believe the most important thing is to find out all about your circumstances and your goals, so we can help you find the most suitable mortgage for you and your family.
Your property may be repossessed if you do not keep up repayments on your mortgage.
First time buyer mortgages
They say buying your first property is overwhelming and stressful – but it doesn’t have to be. At Moving Experience our goal is to make life as easy as possible for you. We’ll guide you through the process of choosing and applying for your first mortgage, and can even introduce you to a solicitor to provide legal expertise. You can rely on our support until the day you get your keys.
Mortgages for home movers
So you know how this works because you’ve bought a property before. Maybe it was a couple of years ago, maybe five, maybe 10. Whatever the case, things will have moved on and the choice is as important as ever. That’s why we’re here – to help you make an informed choice that suits your current and future needs.
There was a time when people signed up for a 25 year mortgage and didn’t think much about trying to get a better deal after that. Today we know that the sensible choice is to review your mortgage at regular intervals to make sure it’s still working hard for you – or find something new. That’s where Moving Experience can help.
Buy To Let Mortgages
Over the last 15 to 20 years, ‘buy to let’ has become an increasingly popular investment choice. But lenders approach these sorts of loans differently so even if you’ve got a personal mortgage there’s more to learn. At Moving Experience, whether you are an individual or a limited company, we can explain your options and help you navigate making your investment purchase.
Whether you know what you need or you want to talk through your options, get in touch to book your free initial consultation with one of the team.
“We have used Moving Experience in the past and used them again because of the fantastic service we received. They contacted us at every step of the process and are always a delight to speak to. I’ve already recommended them to family and friends and will definitely use Moving Experience again in the future.” NH, September 2019
IMPORTANT: Your property may be repossessed if you do not keep up repayments on your mortgage.
Our little guide to mortgages
The main reason people find choosing a mortgage so daunting and complicated is that there’s just so much choice out there – both in terms of lenders and products available. To help narrow down your options, there are two key factors you need to consider.
The first thing is how the mortgage is going to be repaid over its term. There are really only two options if you want to pay off the mortgage completely in the end: repayment (also known as capital and interest) or interest only.
With this category of mortgage, each monthly payment you make to your mortgage lender consists of interest plus a contribution toward reducing the capital balance. This means that over your mortgage term the loan gradually reduces, so that by the end – as long as you keep up to date with repayments – your mortgage will be repaid.
With an interest only mortgage, your monthly payments only cover the interest on the outstanding capital. This means the loan itself is not reduced. In order for the mortgage to be paid off, you’d need to have what’s known as a ‘repayment vehicle’ in place, such as an Individual Savings Accounts (ISA), pension or pre-existing endowment policy*.
Depending on the performance of your investment, the repayment vehicle chosen may not provide a sufficient return to enable you to pay off the mortgage in full at the end of the mortgage term. This arrangement is therefore a higher risk option than a repayment mortgage.
It is possible to arrange a ‘split repayment’ which is a mix of the two methods. In the end, the decision about which type is better for you will be based on your attitude to risk – the interest only option being the most risky.
*Please note that Moving Experience is unable to arrange or advise you on the suitability of these repayment vehicles, only the mortgages themselves.
Types of interest rates
The second thing to think about is the type of interest rate you want to go with. This decision will be based on factors such as how flexible you can be about your monthly payments and how stable you believe the market will be in the future.
Your monthly payments will increase or decrease as your lender adjusts their standard rate in accordance with market conditions.
Your lender might offer a discount from the Standard Variable Rate (SVR) for a specific period of time. For example, the variable rate may be 5% with a discount of 1.5%. The initial rate would therefore be 3.5%.
This is a variable rate that is linked to the movement of a prevailing rate such as the Bank of England Base Rate or London Interbank Offered Rate (LIBOR). The rate will be a set percentage amount above or below the relevant base rate for a specified period of time. For example, if the Bank of England rate were 0.75% then a rate of 2% above Bank of England rate would be 2.75%.
Your interest rate is set for a predetermined ‘benefit period’, usually two, three or five years. Once this expires, interest is charged at a variable rate.
If the variable rate drops below the capped rate, you will pay less – but you will never pay more than the capped rate.
Please note that availability of products may vary according to market conditions.
This information is a guide only and should not be relied upon as a recommendation or advice that any particular mortgage is suitable for you.
All mortgage are subject to the applicant(s) meeting the eligibility criteria of lenders.
Please make an appointment to receive mortgage advice suitable for your needs and circumstances.