A flexible mortgage could be right for you as it allows you to change your payments to suit your circumstances as the ups and downs of life affect you ability to pay the monthly payments.
Flexible mortgages allow you to overpay and underpay without redemption penalties being charged. You can tailor you current financial situation to the mortgage payments that you make. When you have spare cash you can overpay and if necessary you can underpay, skip a payment or even borrow money against the capital repaid.
Advantages and Disadvantages of a flexible rate mortgage
- You can pay off your mortgage early, without penalty, by making overpayments.
- You can borrow against mortgage overpayments or equity in the property more easily, and at a lower interest rate than a 'standard' loan. (dependent on the type of flexible mortgage)
- You are able to change mortgage at any time without being penalised as there are no early redemption penalties.
- Making too many underpayments could result in extending the mortgage repayment period.
- No stability when compared to a Fixed rate mortgage
Flexible rate mortgages for further information
Think carefully before securing other debts against your home, your home may be repossessed if you do not keep up repayments on your mortgage.
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We normally do not charge a fee for mortgage advice, however this is dependent on your circumstances. Our typical fee would be £500