Mortgage FAQs: Answers from Finamply, your Trusted Source
Here are some common questions about mortgages, answered with the assistance of our friends at Finamply.
What is a Fixed Rate Mortgage?
A fixed rate mortgage ensures consistent monthly repayments over a specified time frame, unaffected by fluctuations in the Bank of England base rate or your lender's standard variable rate. Finamply's knowledgeable advisers can guide you in selecting the ideal mortgage option tailored to your needs.
What is a Standard Variable Rate Mortgage?
A Standard Variable Rate (SVR) mortgage is a type of variable rate mortgage where the lender's default rate applies, offering no specific deals or discounts. Staying on an SVR can be risky, as lenders have the freedom to adjust the rate at any time, potentially influenced by changes in the Bank of England's base rate. Gain insights from a mortgage adviser into the factors impacting SVR mortgages to make informed decisions about your home financing.
What is a Tracker Mortgage?
A Tracker Rate Mortgage offers attractive benefits for homebuyers. The interest rate is directly linked to a specified base rate, such as the Bank of England base rate, providing transparency in monthly repayments. Tracker mortgages offer potential savings if the base rate decreases, flexibility for overpayments, and the ability to switch to different mortgage deals without penalties. Consult with experts to determine if a tracker rate mortgage aligns with your financial goals.
Will Interest Rates Go Down or Up?
The Bank of England base rate will fluctuate interest rates dependent on inflation. If you are on a tracker or standard variable rate mortgage, it's important to ensure you can afford repayments even if rates increase by 2%. Finamply's expert advisers can inform you about the best-suited options for your requirements and how changes in interest rates may affect you.
Your home may be repossessed if you do not keep up repayments on your mortgage.
There may be a fee for mortgage advice. The actual amount you pay will depend upon your circumstances. The fee is up to 1%, but a typical fee is 0.3% of the amount borrowed.
Finamply Mortgages Limited is an appointed representative of Mortgage Advice Bureau Limited and Mortgage Advice Bureau (Derby) Limited which are authorised and regulated by the Financial Conduct Authority. Finamply Mortgages Ltd. Registered Office: 1 The Links, Herne Bay, Kent, CT6 7GQ. Registered in England Number: 10785015