First Time Buyer Tracker Mortgage Deals
For most first time buyers, finding the correct mortgage is hugely important to ensure that they will get the most out of their investment. One of the first decisions to make as you seek out a mortgage is the type of mortgage that you require. A first time buyer tracker mortgage is an example that you may be considering.
Depending on your circumstances there will be a range of mortgage lenders who could offer you competitive quotes for a first time buyer tracker mortgage. To find the best deal on your mortgage, it is advisable to compare quotes from a number of providers. You might therefore find the comparison tables above helpful as you search for a first time buyer mortgage:
A first time buyer tracker mortgage has interest rates that are linked to the Bank of England base interest rate. Therefore, the interest rate of your mortgage could move up or down in correlation with this. For many people, a first time buyer tracker mortgage has the following pros and cons:
- When the base interest rate is low, the interest rate on your tracker mortgage will also be
- Interest rates tend to be lower than lender’s Standard Variable Rates (SVR)
- You could pay less interest than on a fixed rate mortgage, depending on the base interest rate
- The interest rate on your tracker mortgage could increase with the base interest rate
- As the interest rate is variable, it may be harder for you to work out your long term budgets
- You may be subject to early repayment charges should you wish to make overpayments
As you look for a suitable first time buyer tracker mortgage, it is advisable to compare what each different provider could offer you before opting for a particular mortgage deal.