Higher Lending Charges
Self Employed
Credit Problems
Hidden Costs
Free Advice
First Time Buyer
Early Repayment Charges
Large Loans
Mortgage Options
What are Higher Lending Charges?These
are fees that lenders will charge for loans over a certain amount (usually
80%). The premium buys cover for the lender which will protect them if you
were to default on a loan. In this instance, following the repossession and
sale of the property any loss is reimbursed by the Higher Lending Charges.
The important point here is that although you the borrower pay the premium
on the policy it is of no benefit to you. If the lender calls upon the policy
to recover his losses the insurer who provided the guarantee can still come
after you for the amount that they have paid out.
I
am self-employed. Can I get a mortgage?Yes. Whilst
many high street lenders will exclude them We specialise in finding the best
deals around for the self employed. A number of lenders will want two years
of full accounts but this is not the case throughout the market and we should
be able to solve any difficulties you may have encountered. Contact us with
your individual circumstances and let us find you your mortgage.
I
have had financial difficulties in the past. How will this affect me?It
depends on what those problems were and how long ago they occurred. Some
lenders will deduct the annual payments to creditors or in respect of any
debts outstanding, before applying their income multiples. In the case of
mortgage arrears most lenders will want to see that they have been brought
up to date and maintained for 6-12 months. County Court Judgements (CCJ)
may pose a problem and again, it will depend on whether there is more than
one, the size of the judgement and whether they have been satisfied. In some
cases a lender may accept a suitable explanation for your CCJ.There
are also a number of lenders who specialise in this area of the market and
they will often lend where other mortgage companies may decline. If you contact
us with your circumstances we will be able to find the best option available
for you.
There
are a large number of very attractive deals available. What are the catches?There
are a number of points to watch out for and we would always suggest that
you speak to one of our dedicated team of mortgage specialists. There are
however things to watch out for. A number of the deals that may be offered
are designed to attract new business to the lenders, who then hope to keep
you as a customer beyond the initial incentive period so they can recoup
their costs. You will therefore find that some of the most attractive deals
around will impose early early repayment charges if you wish to repay the
mortgage within the incentive period and beyond. The key is to find the lowest
penalties that apply over the shortest period of time. This will then allow
you to reassess your options when the initial period is over and, if it makes
sense to do so, move your mortgage to another lender to attract a further
incentive deal. Lenders will also in a number of cases charge an arrangement
fee to access these deals. With such
a bewildering array of options open to you the easy alternative is to allow us to search the market to find the mortgage that is right for you and
will save you money.
Will
Flexible-Finance charge me a fee to find my mortgage?There may be a fee for mortgage advice. The precise amount will depend upon your circumstances but we estimate it will be two hundred and ninety five pounds plus up to one percent of mortgage amount. These are detailed on our terms of business (IDD). Download
our Initial Disclosure Document here.
I
am a first time buyer and I suspect I may need a 100% mortgage. What are my
options?You will find it almost impossible to get a 100% mortgage currently but it may be possible to get you a mortgage using a shared equity scheme. Most likely the maximum you will be able to borrow is 95%.
How
do Early Repayment Charges affect me?
Generally
an early repayment charge will be charged if you cash in a fixed, discounted
or capped rate mortgage during the first few years. They are usually a few
months interest payments, which can run into thousands of pounds. Talk to
your Flexible-Finance mortgage specialist about any charges/penalties that
may apply on loans you are considering.
I
am looking for a large loan – in excess of £500,000? What
problems will I face?
Those
who are looking for larger mortgages will have larger earnings, possibly
made up of a package of salary, bonuses and share options. This can be an unfamiliar
client profile to some high street lenders and you may need some help
as you mayl not fit some companies standard criteria. Some mortgage products
may set a maximum loan of £250,000 so you will need to be able to research
the whole market for the best deals.
Some borrowers requiring
larger mortgages may need the flexibility to allow chunks to be paid off early
when, for example, bonus payments are received, and without big penalties
for doing so. Some borrowers may favour shorter term mortgages over periods
of as little as 5 years enabling rapid repayment of the loan.
Frequently
people seeking large mortgages are keen to have a rapid response from lenders, and Flexible-Finance always aims
to ensure that the borrower receives the personal service of a specialist
in this area to provide the information they require.
What
type of mortgage should I go for? Repayment, Interest Only?
There
is no one easy answer to this question. Much is written about the merits of
the various types of mortgages (see our Mortgage
Guide) but the simple fact is that you will need advice as to which option
best suits your circumstances. But that’s where we can help. Contact
one of our dedicated team of advisers and they will ensure that you receive their expert advice.
For
a mortgage secured on a property, insurance may be required. Written quotations
are available on request. APR may vary.
