A lot of mortgage activity!

20/8/10 - Despite being in the midst of the holiday season, there is certainly a lot of mortgage activity happening! AToM have seen a huge increase in enquiries for re-mortgages as customers look to refinance existing deals on to better rates or raise capital to purchase other properties or for home improvements. There’s no better time to review the market as there are some competitive rates currently available. Especially fixed rates which cater for those looking to stabilise their monthly mortgage payments for a specified term. We have recently been allocated a tranch of fixed rate funds at 3.99% for 3 years (5.2% APR) by one lender. This includes free standard legal costs on re-mortgages, or £250 cash back on purchases with no early redemption charges payable after the fixed rate term. This product is available up to 80% of the property value. Terms and conditions apply and please feel free to request full details from us.

We have also seen a vast increase in customers looking to consolidate debt or even look at debt management plans. Both can sometimes cause issues. If you consolidate unsecured credit in to your mortgage, although your monthly payments may be lower, you may be paying more for your debt over a longer term. And with debt management plans, or Individual Voluntary Arrangements(IVA), etc, again, the lower monthly payments may help in the short term, but you may well find it hard to gain an approval from a lender to refinance at a later date. Lenders tend to shy away from debt management plans and may not touch anyone who has been in an IVA unless it has been discharged for more than four years. Advice should always be sort before entering in to these types of arrangements.

At AToM, we are independent and we will happily go through the pros and cons of changing any of your financial details before proceeding to conduct any credit searches or decision in principles. You need to be clear that it’s the right deal for you. If your current deal is still the best option for you, we will suggest you stay where you are.

Whatever you do remember to check what terms and conditions apply and also remember that your home may be repossessed if you do not keep up repayments on your mortgage.