When should you visit a mortgage broker Harrogate?

Posted by Rebeka Sparrow on August 2nd, 2017

There are some differences between mortgage and remortgage. When you change your lender for a better mortgage and more benefits, it is known as remortgage. You may seek professional help from a mortgage advisor Harrogate or a mortgage broker Harrogate who can find a lender who would pay the legal costs and also the valuation fees needed for the remortgaging.

It usually takes eight to twelve weeks to process your application for remortgage as the new lender checks into your details just as your previous lender. The existing lender may charge you for an early repayment and your mortgage advisor will advise you to take into account such costs before switching over to new lender. The amount you can borrow depends on your income, expenditure and also your credit history. The lenders also consider your deposits and if you make higher deposit you pay a lower amount as your monthly repayment.

When you are shopping for a property you should find out how much you would be able to borrow for the property. Some lenders offer you an approval in principle when they tell you how much they are ready to lend you following their guidelines. So, it becomes easy for you to fix a budget. The mortgage advisor Harrogate will tell you to keep the documents ready that the lenders would like to look into. For example, proof of your income is one such document that they would definitely ask for to ascertain that you would be able to repay the mortgage.

People often ask their mortgage broker Harrogate on the ideal tenure of their mortgage. Though it can run from 5 to 40 years, but it is advisable to go for the shortest term. This helps you to keep the cost down. The longer the duration, the more the interest you pay. Also, you should plan to repay the mortgage before you retire as the repayment may not be affordable after that.

Consolidating your debts while opting for a mortgage is also a wise decision. You can club your existing debts to better manage your finances. But, if you add a short-term loan to your mortgage you repay that over a longer term and pay more than usual. Since unsecured loans are normally paid back within a short term, adding it to your mortgage may not be the right thing to do. If your existing debts are not secured, they become secured when you add it to the mortgage. But you should do it after careful consideration to add other debts against your property, because, the lender can take possession of it if you do not repay on the mortgage.

A good mortgage broker Harrogate will help you in understanding the common mortgage terminology and features so that you know what to expect from the product. Many first time home buyers may not be aware of the terms like arrears and repossession or APR (Annual Percentage Rate) and knowing these terms is extremely important. For example, if you are not aware of the concept of cash back your mortgage advisor Harrogate will tell you how you get back a lump sum amount from your lender once you complete your mortgage.

A mortgage broker Harrogate or a mortgage advisor Harrogate will ensure that you get the most competitive mortgage deal for your requirements.