Moving home?
At Cox Financial, we have over 30 years’ experience in providing trusted and reliable financial advice to movers like you. Our advisors can help you find a mortgage that is right for you and the interest rate option most likely to suit your needs.
With access to a panel of over 50 of the best mortgage lenders in the UK we can access deals that aren’t available direct from the lender. Couple this with the expertise of our experienced mortgage advisors and we could help you achieve better long-term value for money, save you time and minimise uncertainty!
Based just outside of Preston, our advisors will come to you, visiting you in a place and at a time that is most convenient to you.
For more information or to explore your mortgage planning options with Cox Financial, please contact us on 01772 613478 or email admin@cox-financal.co.uk and we will be happy to assist you.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT.
Tips for moving home
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
Before you choose a specific deal, you may want to understand more about what types of mortgage are available.
This brief summary may help.
Common types of Mortgage
- Variable rate - Your monthly payment fluctuates in line with a Standard Variable Rate (SVR) of interest, set by the lender. You probably won’t get penalised if you decide to change lenders and you may be able to repay additional amounts without penalty too. Many lenders won’t offer their standard variable rate to new borrowers.
- Tracker rate - Your monthly payment fluctuates in line with a rate that’s equal to, higher, or lower than a chosen Base Rate (usually the Bank of England Base Rate). The rate charged on the mortgage ‘tracks’ that rate, usually for a set period of two to three years. You may have to pay a penalty to leave your lender, especially during the tracker period. A tracker may suit you if you can afford to pay more when interest rates go up – and you’ll benefit when they go down. It’s not a good choice if your budget won’t stretch to higher monthly payments.
- Fixed rate - The rate stays the same, so your payments are set at a certain level for an agreed period. At the end of that period, the lender will usually switch you onto its SVR (see Variable rate). You may have to pay a penalty to leave your lender, especially during the fixed rate period. A fixed rate mortgage makes budgeting much easier because your payments will stay the same - even if interest rates go up. However, it also means you won’t benefit if rates go down.
- Discounted rate - Like a variable rate mortgage, your monthly payments can go up or down. However, you’ll get a discount on the lender’s SVR for a set period of time, after which you’ll usually switch to the full SVR. Discounted rate mortgages can give you a gentler start to your mortgage, at a time when money may be tight. However, you must be confident you can afford the payments when the discount ends and the rate increases