Compare Mortgage Rates
When looking for a suitable offer, it is strongly advised that you compare mortgage deals available from a number of different mortgage companies to ensure that you find the most competitively priced offer for your money. There are generally two different repayment options available from providers, here is a brief explanation of each type:
Interest only mortgages only require customers to repay the interest on their mortgage every month. The loan itself will not have to be repaid until after the mortgage period has ended, although customers will be expect to save enough money to pay off their debt in full.
Repayment mortgages are simpler, and require customers to pay off both the loan itself, plus interest every month until they own the property completely. These agreements are often preferred by customers as there are no huge payments to make at the end of the mortgage term.
As you shop around with different mortgage companies for an appropriate deal, you may wish to consider the following interest rate options:
This type of interest rate tracks the Bank of England base interest rate, and cannot be varied by the lender once the agreement has started.
- Fixed rate
This interest rate would be fixed at a set amount for a designated term; following this, it would be likely to revert to the lender’s standard variable rate (SVR).
- Standard variable rate (SVR)
The SVR usually refers to a lender’s basic interest rate without any form of discount; it could move up or down at any time.
to receive interest on your savings, the interest rate on your mortgage could be lowered.