A residential mortgage is a large loan used to help one or more people buy a home. However, you won’t be able to buy the home to rent out or use for business purposes because the property must be used as a residence by the applicant taking out the mortgage.
A minimum deposit of 20% to 30% of the property’s worth is required to qualify for the cheap residential mortgage rates. So to get the best rates on a £200,000 home, you’ll need a deposit of £60,000 or more. Some lenders, however, may issue residential mortgages if you have a 5% to 10% deposit or £10,000 to £20,000 on a £200,000 house but the interest rates might be higher.
Types of Mortgage Services Offer By Mountview Financial Solutions:
Buying your first house can be a difficult process. Mountview Financial Solutions will be able to walk you through each step of the home-buying process. For example, we may work together to identify what income level you can easily afford to spend each month before viewing a house.
When you remortgage, you move your mortgage from one lender to another. Most consumers check this option every few years to guarantee they are always getting a fair rate. In addition, remortgaging helps people raise funds simultaneously, which can be used for home renovations or debt consolidation.
Buying an investment property is a huge decision, and most people will need a buy-to-let mortgage to help them out. Mountview has put together a collection of helpful tips and calculators designed to help you find the best buy to let mortgage so you can understand how it works. Then, when you’re ready to talk about your buy-to-let mortgage options, our skilled mortgage brokers or advisers are available 7 days a week to help you.
An offset mortgage is a mortgage connected to your savings account, providing you to use your savings to lower the cost of your mortgage. You will reduce the interest charged on your mortgage rather than collecting money on your savings. As these are considered repayments against the overall balance rather than savings, an offset mortgage is also a tax-efficient choice for homeowners who may have been liable to pay tax on savings deposits.
Book your appointment with us and see how our mortgage broker and advisor can help you.
Residential Mortgage FAQs
You may use a mortgage as financing to help purchase real estate. You’ll pay back your mortgage every month for an average of 25 years, though they can last anywhere from six months to 40 years.
When determining which mortgage to get, you have two options: apply directly with a lender or use a mortgage broker. If your finances are complicated, your credit history is poor, or you want to ensure you get the best mortgage rates, a whole-of-market broker can be helpful.
The UK property market has long been a key sector. Over the long run, it has proven to be a great strategy to create and build money.
If you are under 18, you cannot apply for a mortgage. The age limit to get a mortgage differs based on the lender.
Contact the three leading credit reporting agencies and check your credit reports before applying for a mortgage. Verify that there is no incorrect data out there about you. Prepare yourself by taking advice from qualified mortgage professionals.
The average lender has a limit on how much you can borrow, generally it is 4.5 times your annual salary.
With a repayment mortgage, you make regular monthly payments for an agreed-upon period to pay off the principal borrowed and the interest acquired.
You need the following documents to apply for a mortgage
- Utility bills.
- Proof of benefits received.
- P60 form from your employer.
- Your last 3 months’ payslips.
- Passport or driving licence (to prove your identity)
- Bank statements from the last three to six months for your current account.
Though it can be more difficult, getting a mortgage with negative credit is still viable. People who apply for a mortgage will have their credit scores checked by lenders. They look at your credit history to determine whether you can make repayments. However, there are lenders who deal with applicants with adverse credit.
Yes, you can get a mortgage if you are self-employed but lenders have different ways of assessing self-employed income then employed.