Mortgage

A mortgage is basically a loan which enables you to purchase property with regular repayments being made over an agreed period of time, typically 25 years. If you fail to keep up with your repayments the Lender has the right to sell the property to retrieve their money. As this is probably the biggest investment you will make in your lifetime, it is essential that you fully understand all of your options.

How Much Can I Borrow? It is normal for the amount to be 3-4 times your gross annual income. However, due to recent economic activity, Lenders are being much more responsible and will look at your overall financial health. They take into account credit cards, loans and general outgoings before making their decision. It is not just about how much you can borrow, but more importantly how much you can afford to repay! Use our budget calculator to help you organise your finances.

Before looking at the different types of mortgages and Lenders here are a few important facts you need to be aware of:

• Make sure the lender is registered with the Financial Services Authority (FSA). This way you are dealing with a reputable lender and will have assistance if anything does go wrong.
• Before signing any mortgage agreement, make sure you have read and understood the ‘Key Facts’ (this is a document which details the costs involved with that particular loan).
  

Download the Mortgage PDF Guide here - see our other free PDF guides here

Guide Contents

To Buy or to Rent
What is the process of getting a mortgage in England?
Getting mortgages in Scotland
The cost of buying a house
Mortgage
Different types of mortgages
Self Certified mortgage
Apply for a mortgage
Mortgage FAQ
Where to get more mortgage help

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