Mortgages are something that most people will need to deal with at some point if they want to own their own home, however the realities of what a mortgage entails and how they work can be daunting for borrowers.
At Bower Home Finance, our independent mortgage advisers are committed to finding the most suitable, beneficial and affordable mortgage deals for our customers to suit their needs. We search across the whole of the market and compare each lender in order to find and compare the best deals, presenting them to you in a way that is straightforward and easy to understand with impartial guidance and advice to help you make the right decision.
Introduction to Mortgages
A mortgage is a significant financial commitment that requires careful consideration. Essentially, a mortgage is a loan used to purchase a property, and it involves regular monthly payments over a set period. Understanding the different types of mortgages available, such as fixed-rate and variable-rate mortgages, can help you make an informed decision moving forward.
When applying for a mortgage, several factors will be considered, including your credit history and loan to value ratio. These factors will determine the interest rate you’ll be offered and, consequently, your monthly payments. Mortgages are secured loans, meaning the property serves as collateral. If payments are missed, the lender has the right to repossess the property.
A mortgage adviser can help you find the right mortgage for your needs and ensure that you’re getting the best deal possible. The mortgage industry is constantly evolving, so staying up to date with the latest developments and interest rates is essential for making informed decisions.
Why choose a mortgage broker?
Navigating the entire mortgage market can be overwhelming, but a mortgage broker can be an invaluable resource. Depending on the type of mortgage broker, they can have access to a wide range of mortgage deals from various lenders, including specific lenders that may not offer deals directly to customers. However, it is important to check which lenders your mortgage broker can work with when looking for the best deal.
There are three types of mortgage brokers:
Whole of market
A whole of market and independent mortgage broker can search the whole of the market and do not have any restrictions surrounding which lenders they might work with.
Panel
A mortgage broker that works with a panel will have access to a selected number of lenders to compare products.
Tied
Typically, a mortgage broker who is tied will only work with one lender, this is often the case if they are directly employed by a mortgage provider.
Types of Mortgages –
Mortgages come in a wide variety of forms with differing terms, interest rates, repayment terms, eligibility criteria and of course costs. At Bower Home Finance, our specialist team can provide mortgage advice on all mortgage products including;
Mortgage lenders offer different types of mortgages, and it’s essential to compare deals to find the most suitable one for your individual circumstances. Some mortgages may have fees associated with them, such as arrangement fees or early repayment charges. A mortgage broker can help you understand the different types of mortgages and find the one that best suits your needs.
It is always worth having a read about the different types of mortgages available to see what is applicable to your needs and individual circumstances. If you’d like to know more about a particular mortgage product or advice on how you can go about getting the best deal, then do not hesitate to get in touch.
Types of mortgage interest rates
Fixed Rate Mortgages
Fixed-rate mortgages offer a fixed interest rate for a set period, providing stability and predictability for monthly payments. This type of mortgage is ideal for those who prefer to know exactly how much they will pay each month.
Variable Rate Mortgages
Variable-rate mortgages, on the other hand, have an interest rate that can change over time. This means that your monthly payments may increase or decrease depending on market conditions. Tracker mortgages are a type of variable-rate mortgage that follows the England base rate, meaning the interest rate will rise or fall in line with changes to the base rate.
Am I eligible for a mortgage?
There are a lot of questions that those looking to obtain a mortgage often ask including – could I get a mortgage, what do I need for a mortgage and what mortgage could I get or afford?
The answer to these will depend on a number of factors. Most lenders will consider:
- Your credit score
- Your debt-to-income ratio
- Your outgoings
- Your deposit amount
- The property you are looking to buy
- Your age
Every mortgage lender has their own lending criteria which means that just because you may have been turned down by one lender, it does not mean that you will not be successful with another.
Before you apply for a mortgage it is always a good idea to be as prepared as possible which includes checking your credit file, working out your budget and seeking professional advice from independent experts like Bower Home Finance.
Using a mortgage calculator
A mortgage calculator can be a quick and easy way to find out what a mortgage could look like for your circumstances based on your income, current interest rates and the total cost of a mortgage.
Whilst it won’t provide everything you need to know, if you’re a first-time buyer or looking to re-mortgage, it could offer you some insight if you’re in the early stages of looking at potential mortgage rates.
Get started today by contacting us for more detailed mortgage advice.
Mortgage application help and advice
Our mortgage advisers have access to mortgages across the whole of the market and are able to obtain competitive rates that provide borrowers with a tailored deal to suit their circumstances.
Our mortgage brokers play a crucial role in helping customers find a mortgage that fits their needs and assist borrowers in deciding on the best mortgage options.
Contact us today to find out how we can help with your mortgage.
Find a mortgage that’s right for you
If you need guidance and advice with your mortgage, our friendly, independent mortgage specialists are on hand to answer your questions and guide you through the mortgage process, supporting you every step of the way.
After we have spoken and got a clear understanding of your specific needs and circumstances, our dedicated experts will search through the available options before presenting them to you. From there, we can talk through the available deals and products, answering any questions you may have to help you come to a decision that you are happy with before arranging everything on your behalf.
Using a whole of market mortgage adviser can provide significant benefits, ensuring that the mortgage you choose is appropriate for your needs. However, it’s important to note that while we offer a range of options, we cannot cover every possible personal financial circumstance or mortgage product available in the market.
If you would like to find out more, contact us today and our friendly and knowledgeable team will be happy to help in any way they can and get you on the path to finding the right mortgage deal.
FAQ’s
What is a mortgage?
This can seem like a simple enough question, but it is one that often people do not truly know the answer to. Everybody looking to obtain a mortgage should understand what one is and doing so is how people go on to make smart, informed decisions about their finances.
A mortgage is, in simplest terms, a type of loan which is provided by a bank or lender to purchase a property and is required to be paid back over time which is typically done so in the form of regular monthly payments.
Borrowing for a mortgage involves understanding the financial commitment and the associated costs. The specifics of various mortgages such as the cost can be vastly different and depend on the type of mortgage, the terms and the interest rate; but the main principles are the same and in order to secure the loan, the property serves as collateral.
It is important to understand the structure of mortgage repayments, which can consist of both principal and interest, or interest only. Understanding monthly payments is essential to ensure that you can stay within your budget, and you are prepared for future payments. Additionally, the financial implications of monthly repayments should be carefully considered to make informed financial decisions.
What mortgages are available with Bower Home Finance?
At Bower Home Finance we currently deal with a wide range of mortgage types and products varying from the fairly typical to the more specialist and unique. Our dedicated team can help with a wide range of mortgage products including;
- First Time Buyer Mortgages
- Remortgaging
- Home Move Mortgages
- Specialist Mortgages
- Fixed Rate Mortgages
- Variable Rate Mortgages
- Buy-To-Let Mortgages for Limited Companies
- Retirement Interest-Only Mortgages
- Green Mortgages
- Later Life Mortgages
- Equity Release
Whether you’re nearing the end of your current mortgage term and considering remortgaging, or exploring a different type of mortgage, our experienced advisers are here to help.
We can guide you in finding a mortgage that fits your needs, including options with monthly repayments that may offer benefits like releasing equity or reducing your monthly costs. We can also match you to an interest-only lifetime mortgage, which is designed to last for the remainder of the borrower’s life—making them a suitable choice for retirees.
In addition, we provide mortgage solutions for rental properties, ideal for those interested in buy-to-let investments. Each mortgage type comes with its own advantages, allowing us to support a wide range of financial goals and circumstances.
How do I know what type of mortgage is right for me?
The answer to this question will vary depending on your unique circumstances and the kind of property they are looking to buy which can determine which type of mortgages will work best.
A mortgage adviser will be able to offer advice surrounding which mortgage product may offer the most value for your circumstances, search for the best deal and help arrange the mortgage of your choosing.
It is important to try to get a basic understanding of what mortgages entail including the fundamentals of those that are most relevant such as repayment / interest only or fixed rate / variable as this will help you feel more confident in your understanding and therefore your choices.
By using a mortgage adviser, you will receive personalised advice and access to a wider range of mortgage products. Taking out a mortgage is a big financial decision and there are a lot of different options, lenders and deals available which is why it is always advised to seek professional advice from a mortgage broker who will be able to help and talk through your options with you.
How long does it take to get a mortgage?
So, you’re looking for a mortgage, but how long does it actually take? Assuming you’ve got a mortgage in principle and your offer on a property has been accepted, it will typically take between two and six weeks for your application to be processed and the mortgage approved.
We recommend you start to gather all of the necessary paperwork prior to your application to make the process as soon as possible. Your mortgage adviser will be able to advise you on what documents you will need to apply for a mortgage.
Can mortgage brokers give advice?
Yes, as long as your mortgage broker has the relevant Certificate in Mortgage Advice and Practice (CeMAP) qualification, they can offer mortgage advice. They will work closely with you to understand your personal circumstances so they can recommend the best product. Your mortgage broker should discuss your options thoroughly and guide you through the application process, answering any questions you have along the way.
Why choose Bower Home Finance?
At Bower Home Finance, we strive to make sure that our clients always feel completely in control of their home finances and the decisions they are making, ensuring they benefit from our services. We go to great lengths to ensure that everything is explained clearly and in a way that is straightforward and easy to understand so that they can be confident in knowing that they have chosen a plan that is right for them. Our independent mortgage brokers play a crucial role in arranging mortgage deals that fit our clients’ needs and searching across the whole of the UK market.
Our award-winning whole of market service ensures that our clients get the very best advice, guidance, and support that they need throughout the process from the very start until completion.
Reach out today to learn more about our mortgage advice process.
Bower Home Finance provides independent, impartial whole of market mortgage advice with an award-winning customer service experience. Initial advice is provided at no cost to you and without obligation. Only if you choose to proceed, would a typical advice and administration fee of £495 be payable.
Speak to one of our dedicated customer specialists or arrange your free, initial no-obligation quote by calling us on freephone 0800 411 8668.
Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it. Some buy to let mortgages are not regulated by the Financial Conduct Authority.
