Our Advisers have put together 4 points that will take just a few minutes to read but could save you thousands.
When people get a mortgage, they are under stress – they are usually about to make the biggest purchase of their lives, it may be the first time through the process, and much of the language and terms are unfamiliar. It’s not the best time to make a big decision, or be reading technical information. Often we are led by the people who know more about it than us (parents, advisors, the Bank).
These days though, there are many ways to get a mortgage, so here’s 4 ways to avoid missing out:
1. Don’t always go back to your existing lender
Often the first people you speak to when you are thinking about changing your mortgage (moving house or re-mortgaging) is your existing lender. In principle this is a good idea, as you will have a payment history with them and there is a chance that they can offer you a better deal.
However, you need to bear in mind that they will be making you an offer from a limited range of products. They can only offer you their own mortgages. It may be that they can’t do what you want to do, and they may leave you with the impression that it can’t be done.
Your McRobieAdams adviser has the whole-of-market products to choose from (90+ lenders), and may be able to get you where you want to be – and with a better deal than your current one!
2. Don’t Assume you have the best deal
Let’s assume you had the best deal for you when you took out your mortgage; That ‘best deal’ might not be the same deal after a few years. If you are taking advantage of an introductory product, that will come to an end, and you will automatically be put onto the lender’s standard variable rate (SVR). The standard variable rate (much like the standard rate for your Gas and Electricity supply) is often not the best. In this case it will definitely be worth looking around for a better deal.
In addition, interest rates change, so if you took out your mortgage a few years ago, it may be that there are better rates out there. Even a few percentage points in interest can add up over the years.
At McRobieAdams, part of our commitment is to keep in touch, so we know when you are coming to the end of your introductory rate and we will contact you to see if we can get you a better deal.
3. Look beyond Price Comparison Sites
Comparison sites are great at listing products so that you can compare prices based on one figure – the monthly repayment for example. This is only one dimension of the product however, and assumes you are a ‘standard’ person (who qualifies for all of the lender’s requirements), needing a ‘standard’ product.
The thing is, the ‘standard’ mortgage product is a bit of a myth – it’s like saying you bought a ‘standard’ car – there is a lot of choice out there.
Comparison sites will tell you who can offer the lowest monthly payment, but will you fit their criteria? Is there a better way of doing it for your individual circumstances? What about all that jargon?
At McRobieAdams, we explain everything clearly and take you through the best way to manage your borrowing for the way you want to live.
4. Doing it yourself isn’t always cheapest!
It’s very tempting to think about sorting out your own mortgage, and you may use all or some of the methods above to help you decide. A word of caution though, it isn’t just a case of filling in the forms and letting it happen. There can be quite a lot of chasing-up to get the process moved forwards.
You may get a good deal, but your McRobieAdams adviser may get you a better one (something that’s more flexible, that fits your lifestyle, that gives you options) and we’ll explain it so that you know why it’s a good deal.
We also have access to exclusive intermediary-only rates that aren’t available to the public through price comparison sites. A small saving each month can add up to a lot over the term of the mortgage!
The mortgage market is complex and multi-faceted; we are here to get the best deal for you. That’s you now…you in the future when you want an extension… or you’re moving home… you in the future when you are looking to retire…
We pride ourselves on great customer service, and we look to help people over the long term, as well as the immediate term. So why not talk to a McRobieAdams advisor today?