With a self-certification mortgage you have a lot more flexibility in getting a mortgage loan. Usually with a standard repayment the amount you can borrow is dependent upon a multiple of your provable wage. However the idea of a self certification mortgage is that it is not essential to be able to prove your income. However because of the increased risk involved in self certification mortgages the quotes you get may offer a worse interest rate than a standard mortgage quotes. However recently self cert mortgages have become more competitive, but at the same time mortgage lenders are less likely to help you "exaggerate" your income.
These factors should be borne in mind when getting a self certification remortgage quote.
1. Ordinary Mortgage may be possible If Self Cert remortgage quotes are expensive, look to see whether you cannot get an ordinary mortgage. Sometimes mortgage lenders are willing to lend on the basis of affordability. Therefore you might get a deal where you might not have expected to. If you look very hard you might not need a self cert remortgage.
2. Big deposit helps The bigger the deposit you have, the better rate you will get. If your mortgage borrowing is over 90% of the house then the mortgage interest rate will be much higher. If you are Remortgaging to a value of less than 70% then the interest rate is likely to be quite close to the standard mortgage rate.
3. Benefit of rising house prices UK If you have bought a house in the UK in the past 10 years you are likely to have benefited from rising house prices and therefore you will probably need to only borrow a relatively small %. Therefore getting a self certification mortgage becomes easier. However beware UK house prices may start falling soon.
4. Do Look around. Fortunately there are many free online mortgage dealers who can help you search for the best remortgage deals. Some of these will specialise in self-cert remortgage deals.
5. Look at Fees Weigh up all the penalties and fees as well as the rate of interest. A good mortgage dealer should help you to look at the various costs involved in moving. If the fees are very high it may not be worth doing if the remortgage term is short.
View also Guide to Self Certification Remortgages in UK
R.Pettinger studied Economics at Oxford University. He now works as an Economics Teacher. He writes on the UK economoy and UK mortgages.
http://www.ukremortgage-quotes.co.uk/
This post was made using the Auto Blogging Software from WebMagnates.org This line will not appear when posts are made after activating the software to full version.
沒有留言:
張貼留言