What is a Buy to Let Mortgage?
Everything You Need to Know
Your current mortgage deal might be coming to an end, or you might be simply looking to borrow some extra money to get you through these tough times. You might be sat there asking “When is the Right Time to Remortgage in Leeds?” At Finance Remedy we’re here to make the entire process easier for you. We’ll try to help answer any questions about remortgage rates and make sure you don’t leave it too late searching for a quote.
If you do, you could end up lapsing into your LSVR (Lender’s Standard Variable Rate) and chances are you’ll end up paying more than you need each month. We highly recommend that to keep on top of your mortgage, you speak to a remortgage advisor in Leeds.
Is now the right time to Remortgage?
In response to the coronavirus virus outbreak the Bank of England made an emergency rate cut on the 11th March 2020 to 0.25% in a bid to reduce the economic impact of the pandemic. Interest rates were then lowered even further to their record low of just 0.1%, meaning now is a great time to consider fixing your mortgage. Don’t make the mistake of waiting for the BOE to raise interest rates before making your decision as by that point the best remortgage deals will have gone.
Remortgage Options in Leeds
There are plenty of remortgage deals out there, and you can even do your own research by looking into one of the remortgage comparison sites out there. Do beware of using comparison sites as they often favour certain providers and often show deals that many applicants simply won't qualify for.
You should certainly consider all options before deciding to consolidate debts, such as reducing non-essential expenditure as much as possible and even asking family members for assistance. But if you are clear and have decided that a Debt Consolidation Remortgage could be the right option for you, our remortgage advisors in Leeds will take responsibility for recommending the right mortgage for you and helping with the application. Current and previous clients have ended up reducing their payments by hundreds or even thousands of pounds.
Millions of mortgage borrowers may be able to save over £5,000 - can you?
Millions of UK borrowers could potentially save themselves more than £5,000 on their mortgage payments by switching to a new fixed rate offer,
according to research by Experian.
The credit reference agency's recent analysis has found that up to 44 percent of the UK's 10.8 million mortgages are likely to be on their provider's Standard Variable Rate (SVR).
For example, a homeowner with a £150,000 20-year mortgage loan on a typical lender's SVR of 4.75 percent will have a monthly repayment of £969, Experian said.
Meanwhile, the same mortgage on a typical two-year fixed rate remortgage deal of 1.25 percent, would mean a monthly repayment of £707.
As such, Experian has said that switching represents a saving of £6,288 over the two years, or £262 per month.
Should I stick with my Lender or shop around for a remortgage deal?
Millions of UK borrowers could potentially save themselves more than £5,000 on their mortgage payments by switching to a new fixed rate offer,
according to research by Experian.
The credit reference agency's recent analysis has found that up to 44 percent of the UK's 10.8 million mortgages are likely to be on their provider's Standard Variable Rate (SVR).
For example, a homeowner with a £150,000 20-year mortgage loan on a typical lender's SVR of 4.75 percent will have a monthly repayment of £969, Experian said.
Meanwhile, the same mortgage on a typical two-year fixed rate remortgage deal of 1.25 percent, would mean a monthly repayment of £707.
As such, Experian has said that switching represents a saving of £6,288 over the two years, or £262 per month.
Remortgaging for Home Improvements
Are you looking to do some much needed home improvement? Investing in your home by doing an extension or loft conversion can often be a great investment as they can add value to your home.
You can even increase your mortgage to pay for cosmetic updates, so if your bathroom or kitchen is starting to feel tired or dated, then you can remortgage to pay for those too. Many people borrow for Home Improvements even if they know their home might not go up in value. If you’re already in your “forever home,” or if you can afford it then there’s nothing wrong with borrowing for this purpose at all.
If a significant amount is needed, the Lender may ask for the estimates for the works you intend to have carried out. You don’t have to use the Contractor that provided the estimate to do the actual jobs, but it is something to keep in mind.
What is a Capital Raising Remortgage?
You can borrow extra funds for most legal purposes, and there are many reasons why you might wish to raise capital on your home. These types of mortgage are usually to release funds for other purposes.
You can raise capital on your property when you remortgage to do anything from home renovations, large consumer purchases, gifts to family members, to purchase a Buy to Let property or to simply consolidate existing debts.
Many people use remortgage to take advantage of lower mortgage interest rates while consolidating loans into one manageable monthly fee. Finance Remedy are experts in finding the right capital raising mortgage deal suitable for your needs.
Remortgage to raise deposit for an Investment Property (Buy to Let)
Many people understand bricks and mortar as an investment much more than other types of investment they can't physically see or touch (such as stocks, shares and bonds etc). This is why thousands of homeowners have taken funds out of their home via a Remortgage to buy a property to rent out. Many of our clients at Finance Remedy have started this way and grown impressive property portfolios from that first remortgage. Whether buying just one property for extra income to top up pension or buying and selling property as a business, using the spare equity in their homes can provide the gateway to achieve this.
Whatever your current situation, we’re here to find the best remortgage options for you.
