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Home mover guide

Moving home can be a stressful time and arranging the finance for your new property can be frustrating. We want to find the best mortgage for you so you can relax and be happy that the mortgage is in place in good time. We know speed can be an issue so we will work hard to push your mortgage through to meet any deadlines. You're not alone if you ask us to help arrange your mortgage, our mortgage broker and admin team are on your side to smooth over any problems that may arise.

How much can you borrow

Most lenders will let you borrow around 3.25 to 4 times your annual income. But there are some lenders that will lend upwards of 5 to 6 times your income if you qualify for their criteria. This is where a broker starts to earn their money, by searching through hundreds of lenders and thousands of mortgage schemes to find the one that fits.

You will get slightly better deals with a 5% or 10% deposit but mortgage schemes are available for 100% of the property purchase price if funds are tight.

What are the costs?

The main costs of buying a home are:

Mortgage arrangement or administration fee - A fee levied by the mortgage company, sometimes this can be added to your mortgage.
Valuation fee - The cost of the mortgage company sending a Valuer to the property. Note this will not be a detailed survey and other options are available.
Stamp duty - A Government tax when you purchase property or land. The rate ranges from 1-4% depending on the property price.
Legal fees - The charges levied by your Solicitor or Conveyancer. This will be the conveyancing charge plus land registry fees and local search fees. The Solicitor will also collect and pay the Stamp Duty levy.
Broker fee - The fee charged by your mortgage broker for advising and arranging your mortgage
Removal costs - Don't forget to factor in the cost of a removal firm plus boxes, packaging and tape

If you are also selling a property then there will be extra Solicitors costs and estate agents fees.

Mortgage choices

There are lots of different mortgage types but we specialise in mortgages so we can help you to decide which one is best.

The basic mortgage types:

Variable rate - The standard variable rate (SVR). Your payments will increase or decrease inline with interest changes
Discounted rate - Normally the SVR less a discount percentage for a fixed period of time. Your payments will increase or decrease inline with interest changes
Tracker rate - This rate will follow the Bank of England Base Rate (BBR) or another clearing banks base rate. Sometimes a tracker will be combined with a discount. Your payments will increase or decrease inline with interest changes.
Fixed rate - As the name suggests your interest rate and payments are fixed for a set period.
Capped rate - This is not commonly available. This is a variable rate that will not go above a pre-determined ceiling rate (the cap).

You will also need to choose between a repayment or interest only mortgage (or a combination of both).

Other options

Other mortgage options to consider are:

Overpayments
Underpayments
Offset
Portability
Penalty free

So which mortgage is best?

It is impossible to say until we have discussed your current situation and what you want your new mortgage to do. Our advisers will discuss your options in detail and guide you to the most appropriate option.

Protection and insurance

You need to have buildings insurance in place if you have a mortgage. Other cover is optional and you should consider its importance according to your own needs:

For more information, please complete our enquiry form or call 0800 316 5756 and speak to an adviser today.

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