Why it pays to have a conversation with an expert and formulate a plan rather than just worrying about increasing costs.
We’re living in challenging times. After the stresses and strains of the pandemic over the past two years, we’re now dealing with rising fuel and food costs, as well as rising interest rates. You may be concerned about how you’re going to manage financially in the long term.
I understand how you feel. Many of my clients are worried and are seeking advice on remortgaging or asking if now is a good time to move. Some clients have been willing to suffer high early repayment charges to get out of their current mortgage term and secure a competitive rate on a new deal.
Worried about your mortgage?
What should you do if you’re worried about your mortgage going up?
Firstly, make sure you know what type of mortgage you’re on. A high proportion of our clients are on fixed-term mortgage loans, which means your rate is fixed for a specified term (usually between two to five years). This means you won’t be affected by the recent Bank of England base rate rises or by any future base rate increases while you’re still on your fixed-rate deal.
When your fixed-rate comes to an end though, your lender will place you on its standard variable rate, which is likely to be more expensive.
If you’re on a tracker rate mortgage, your monthly payments will go up in line with base rate increases. If you’re on a standard variable rate, your payments will go up if your lender chooses to pass on the increase to you.
If you’re not sure what type of mortgage you have, get in touch with us and we can let you know.
If you were hoping to move house, or you’re wondering whether to remortgage, you may be pondering what to do next.
Making an informed decision
In reality, each situation is different, and you have to do what is right for you and not be too swayed by the media. To make an informed decision about whether to remortgage, move to another property or buy your first home, you need access to good advice. When times are tough and costs are going up, expert advice is invaluable.
Don’t just fret about your mortgage. Talk to us today. Here’s some good reasons to pick up the phone and speak to us:
• We will look at your entire financial situation – not just your current mortgage but all of your costs as well – and advise the best course of action for you
• We will also consider your long-term property goals – notably where and how you want to be living in five years’ time
• We will explain everything clearly to you so that you fully understand what you owe at this point in time, what any rate increases might mean for you and what you can do to improve your situation
• We will work hard to find the most affordable and practical mortgage solution for you.
A clear financial plan
Whether you speak to me personally or to one of my other experienced mortgage advisers, rest assured we’ll work very hard to ensure that you pay the lowest possible amount of interest on your mortgage, for the lifetime of its term. We’ll answer each and every one of your questions and ensure you have a clear plan for your financial future.
Put your mind at rest. Know where you stand and what you can do to make things better. Get in touch with us today for help and advice.