Looking to make a property purchase?
Let our experienced advisers demystify mortgages to help you make an informed decision
Buying property is an exciting milestone—but navigating mortgages can feel like a maze.
How do you decide which one is right for you?
With so many options on the market, the choice can feel overwhelming. That’s where expert advice becomes invaluable.
A mortgage is essentially a loan used to finance property purchases. However, the type of mortgage you select will affect your future repayments, savings, and security. At Burlington Financial, as independent financial and mortgage advisers, we clarify mortgages to assist you in making informed decisions.
Your home may be repossessed if you do not keep up repayments on your mortgage.
Exploring different types of mortgages
Are you aware of the various mortgage types available? Each one has its own set of features and benefits, depending on your needs and circumstances. Here’s a quick rundown of the essentials to get you thinking.
- Repayment Mortgages (Capital & Interest): With this type of mortgage, your monthly payments gradually reduce the amount you owe, ensuring the full amount is repaid by the end of your term, so long as you keep up with your monthly repayments. It’s the most straightforward and widely used option.
- Interest-Only Mortgages: Monthly payments cover just the interest, leaving the original loan amount unchanged and therefore repayable at the end of the mortgage term. These are less common today and require a clear repayment strategy.
- Fixed-Rate Mortgages: These provide certainty by locking in your interest rate for a set period, typically two to five years. But remember, even if rates drop, your repayments won't change during this time.
- Tracker Mortgages: With a tracker mortgage, your interest rate fluctuates in line with the Bank of England Base Rate, meaning your payments can rise or fall.
- Discount Mortgages: Similar to tracker mortgages but linked to the lender’s variable rate, these can offer savings but carry more unpredictability.
Could an offset mortgage work for you?
If you’re looking for flexibility, have you considered an offset mortgage? This type of mortgage combines your loan with your savings, reducing the interest you pay. It’s an innovative option for smart financial planning, but we’ll guide you through its pros and cons so you can decide if it suits your circumstances.
Choosing the right mortgage is about more than just numbers. It’s about aligning your financial decisions with your life goals. With thousands of deals to choose from, you don’t need to feel overwhelmed—we’re here to help you find the best fit.
You don’t have to figure it all out on your own
Would you like to talk about mortgages?
Contact Burlington Financial today to arrange an initial no-obligation consultation at our expense. Together, we can turn your financial goals into reality.
Get started on planning for a brighter future. Contact us today!
Your home may be repossessed if you do not keep up repayments on your mortgage.
