Mortgages

Secure the right mortgage with help from our mortgage advisers

For informed mortgage advice, look to our qualified team at Parklands Financial Advisers. We're based in Lowestoft and help clients across the town as well as in King's Lynn, Cambridge and elsewhere in East Anglia. Get in touch today.

An introduction to mortgages


Needless to say, buying a home will be the largest financial decision most people will make. Therefore, a mortgage for most people will be their largest liability and with so many providers and options, choosing the right mortgage can seem overwhelming and complicated. We can deal with the complexities to make the process of borrowing money simpler and help put your mind at ease ensuring you get the most suitable deal.


The most common reasons for applying for a mortgage are:


  • Moving home or starting out on the property market
  • Staying put, but looking around for a better deal
  • Considering refinancing to extend or make improvements
  • Thinking about venturing into the buy-to-let market


With our support, you can be assured that all the necessary paperwork is being completed while you focus on the other stresses of moving, purchasing or improving property. As well as dealing with all the paperwork, we are here as a port of call for whenever you have a question or worry regarding the mortgage process.

Are you looking to release equity from your property?

What are mortgages?


Mortgages are loans which are intended to help buyers purchase residential and commercial property. When an individual takes out a loan, the lender charges interest. The same is true when it comes to a mortgage.


A mortgage is a ‘secured’ loan, which means that the loan is secured against the value of the property being purchased until the mortgage is paid off. Sources of residential mortgages include high street banks, building societies and other types of less well-known financial institutions.

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Basic conditions


Mortgage providers follow a set of rules and procedures when deciding whether or not they will agree to provide a mortgage to purchase a residential property. Although different lenders apply different lending criteria, the amount a potential buyer can expect to borrow of a property’s purchase price is determined solely by the mortgage provider’s requirements.


Here are some of the factors lenders take into account when making their decision:

Affordability

The mortgage provider will want to be certain that the borrower can afford to service the loan — i.e. to make the monthly repayments as and when they are due. To help them make that decision, the lender will want to see the borrower’s personal financial incomings and outgoings. Any rent the borrower may be paying will be discounted, but the lender will factor in the potential cost of the monthly mortgage repayment.

Deposit

The amount the borrower can contribute towards the cost of buying a property — the ‘deposit’ — is a major consideration. Because most mortgage loans are secured on the value of the property, mortgage providers prefer borrowers who can provide large deposits: the smaller the loan, the lower the lender's risk. And the larger the deposit, the lower the borrower’s monthly repayments will be, which reduces his or her outgoings and improves the affordability criteria from the lender’s point of view. In the current financial climate, most lenders expect borrowers to deposit at least 5% of the property’s purchase price.

Value

Mortgage providers lend against the value of the property, not the agreed purchase price. To avoid lending more than is absolutely necessary (and therefore increasing their financial risk) most mortgage providers will insist on having the property in question valued by a qualified surveyor.

Property type

Some lenders will not consider mortgaging certain types of property. Leasehold properties, properties below a certain price, property being purchased through an assisted purchase scheme or under a Right to Buy scheme, or where property is being purchased ‘off plan’, may not be acceptable to the mortgage provider.

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Mortgage providers generally have a maximum number of years over which they lend and will set a date when the mortgage must be repaid in full.

Please note


A MORTGAGE IS A LOAN SECURED AGAINST YOUR HOME OR PROPERTY. YOUR HOME OR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE OR ANY OTHER DEBT SECURED ON IT.


THE FINANCIAL CONDUCT AUTHORITY DOES NOT REGULATE MOST FORMS OF COMMERCIAL MORTGAGE AND MOST FORMS OF BUY TO LET MORTGAGE.

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Secure the right mortgage for your needs with qualified advice from our team. Complete the form to enquire or call on


LOWESTOFT- 01502 531 633

WOODBRIDGE - 01394 332 733

Kings-Lynn - 01553 770 090 

Long Stratton - 01508 448 085 

Norwich - 01603 858 580

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