The amount you owe on your mortgage is made up of the original loan, plus the interest your lender charges you for borrowing the money. Your repayment type can be ‘interest only’, meaning you’re paying off the interest each month but none of the original loan, or ‘capital and interest’. Capital and interest means you’re… Read more »
Mortgage FAQs Category: Money Stuff
What are overpayments?
Some lenders will allow you to overpay your mortgage without incurring your ERCs (see Phrases You’ll Come Across). You might do this via small monthly payments or as a lump sum. When you make an overpayment, you will reduce the capital you owe straight away which is a great way to reduce your mortgage and… Read more »
When will I need to pay my deposit?
While you don’t need to pay your deposit at the point your mortgage is submitted, we will need to see evidence that you have it available. This could be via a bank statement or other means. The deposit amount will need to be paid to your solicitor at the end of the process.
How do I create a budget?
It’s important that we gain a clear understanding of your income and outgoings before we recommend a mortgage for you. We will then help you create a budget plan that is affordable and sustainable. This is the best way to be certain you’ll be able to afford your bills and living costs as well as… Read more »
How do I know what is affordable?
Your affordability – or how much money you can afford to pay to your lender each month – will depend on many things. Your lender will have a list of criteria they use to work out if your loan amount is affordable for you. But it is important to make sure you not only meet… Read more »