Something to look out for in any fixed rate mortgage UK web site how old the site is. Is it a johnny-come-lately, or has it been around for years? Another thing is whether it has a physical address: P. O. Boxes or 'Suites' don't count. Are they regulated by the Financial Services Authority? Do they have a Consumer Credit Licence?
This is not free money and it must be paid back and it will affect your credit if you don't. It's a substantial responsibility. In light of this, it makes sense to simply state what you believe to be your income and ability to pay. A fixed rate mortgage UK also requires a deposit.
Many individuals with bad credit balk at the idea that a sub prime lender might approve their mortgage only on the condition of high interest rates. However, this is not as much of a drawback as you might think as long as the contract allows you to pay more than your monthly payment without penalty.
Be sure to check and compare enough lenders before you choose one of them, as different fixed rate mortgage UK conditions may represent a significant amount of money on the long term.
If the payback term is too long, you will be paying a lot more in interest, thus the total payment will be higher. Ask many fixed rate mortgage UK companies for quotes and compare both the monthly payments (to see if they fit your budget) and the total payment at the end of the loan duration (to get a real idea of which deal suits you best).
The majority of lenders offer fixed rate mortgages of up to a maximum of 95% of the value of the property, or its purchase price, whichever is lower. Therefore you will need to save up a deposit of at least 5% of the price. 100% loans are available but you must do careful research before making your decision.
The main expense is the extra interest you will pay on the loan. Although you automatically pay more by borrowing the full amount, many lenders charge you additional interest on 100% loans.
Another major cost to take into account is the mortgage indemnity guarantee (MIG) premium. This fee covers the lender for the added risk of advancing larger mortgages. It's usually activated when the loan is for more than 75% of the home value and rises with the amount you borrow. On loans over 95% it is usually quite high.
In some cases, you can find a lending institution that will only require a small down payment in the 5% range. However, this is infrequent and most of the time lending institutions require anywhere from a 10-20% deposit.
Ask about fixed rate mortgage UK today!