Owning your own home is a significant milestone. But securing a mortgage, the loan that helps you finance that dream can feel overwhelming. Understanding mortgages is crucial when making one of life's most significant financial commitments.

Mortgages are loans which are intended to help buyers purchase residential property. When you take out a loan, the lender charges interest: the same is true of a mortgage.

A mortgage is a ‘secured’ loan, which means that the loan is secured against 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.

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 from 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

Lenders will conduct stress tests to ensure you will be able to afford the loan amount you want in the event that interest rates will rise and repayments become more expensive. This is to prevent a situation where you cannot keep up with mortgage repayments and run the risk of having your home repossessed. 

You can also take steps to make sure your mortgage is affordable should unforeseen circumstances arise, such as experiencing a drop in household income. You can do this by borrowing within your means as much as possible. Your adviser can explain affordability tests and the risks during your consultation. 

Deposit

Depending on individual circumstances you may be required to provide a deposit. Deposits are used to mitigate the possibility of a purchaser being  If you are unable to pay their mortgage in the future, the lender needs reassurance that it can take your home and more easily recover the debt by selling the property. Your deposit also reduces the lender's risk in case the property somewhat declines in value.  Reduced risk-taking means lower loan-to-value (LTV) ratios.

Valuation and Survey Fees

Before a lender will grant you a mortgage, it will insist on a valuation to prove the property is worth what you’re paying for it. The size of the valuation fee will vary by lender and property value.

The basic mortgage valuation is for the lender’s benefit so that it feels comfortable lending against the property. You may feel you want to add a survey to the valuation that gives you a report on the general condition of the property.

If you are buying an older property or one in a general state of disrepair, you may choose a full structural survey. This is a thorough survey that examines the structural condition of the property and gives you advice on repairs. 

Obtaining comparable examples in the same area and for similar properties will help you obtain a benchmark.

Property type

Some properties such as flats over commercial properties, studio flats, and ex-local authority premises can be viewed as having reduced future attractiveness. As such, some lenders may not offer a mortgage to buy these properties and reduce your lending options. 

Listed buildings (e.g. Grade 1, Grade 2) may have restrictions on how you can maintain or alter the property as well as buildings near to it (e.g. garage). Some unlisted properties can also be subject to similar restrictions (e.g. in an area of outstanding natural beauty).

Time frame

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.

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YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

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A LIFETIME MORTGAGE IS A LOAN SECURED AGAINST YOUR HOME. TO UNDERSTAND THE FEATURES AND RISKS, ASK FOR A PERSONALISED ILLUSTRATION. EQUITY RELEASE WILL REDUCE THE VALUE OF YOUR ESTATE AND MAY AFFECT YOUR ENTITLEMENT TO MEANS TESTED BENEFITS.

From our Bearsted office in Maidstone, our experienced advisers will support you at every step, ensuring you have the information you need to choose the right mortgage. Contact us today to start your journey toward homeownership with confidence.

What were the circumstances that caused you to initially look for an adviser?
For our mortgage application

How has Jenny Whittle helped you?
With the mortgage application and made the entire process so much easier and speedy.

Have you seen the outcome you were hoping for?
Yes we were able to purchase our property within a two month period

What could they have done better?
Nothing as Jenny was excellent and I have since referred her to others

Jenny's reply
Thanks Linda and for recommending me to your friends! I will be in touch soon to discuss your remortgage.

Review from verified client
London - June, 2023

What were the circumstances that caused you to initially look for an adviser?
We've used Jenny before to help secure a mortgage, so when our fixed term was coming to an end, we were happy to use her services again.

How has Jenny Whittle helped you?
she helped us renew our mortgage.

Have you seen the outcome you were hoping for?
Yes, we're on the best fixed rate we could have achieved under the economic circumstances.

Jenny's reply
Thanks Kate for the review. I hope you have a fantastic special birthday celebration in July!

Review from verified client
Surrey - June, 2023

What were the circumstances that caused you to initially look for an adviser?
We initially contacted Jenny to find out about mortgage options for us.

How has Jenny Whittle helped you?
Jenny has gone above and beyond to support us in our first house purchase together. From navigating mortgage options that suit us and not pushing us into just any deal to thoroughly explaining all the different options when it comes to insurance and protection. She has also been incredibly helpful when our initial sale fell through. She kept us in the loop, every step of the way and responded to our queries and questions with lightening speed and has always been available when we needed her. She has given us exceptional service throughout.

Have you seen the outcome you were hoping for?
Yes.

What could they have done better?
Nothing. Honestly, everything has been perfect.

Jenny's reply
Thank you Victoria and Graham for the lovely review. Fingers crossed for a smooth house move!

Review from verified client
Kent - May, 2023

What were the circumstances that caused you to initially look for an adviser?
We was after some help in finding the best mortgage interest rates and advice on what type of mortgage to go for.

How has Jenny Whittle helped you?
Jenny helped us by explaining different types of mortgages and their pro’s and con’s. She also managed to find us mortgages that accept price work which was helpful. Jenny managed to get us a rate we was happy with.

Have you seen the outcome you were hoping for?
Yes

Jenny's reply
Thank you James and Jasmine for the lovely review, it's been fantastic to work with you both. I hope the house move goes smoothly!

Review from verified client
Kent - May, 2023

What were the circumstances that caused you to initially look for an adviser?
Remortgage

How has Jenny Whittle helped you?
Advised on available mortgages

Have you seen the outcome you were hoping for?
Yes

What could they have done better?
Nothing

Review from verified client
Kent - April, 2023

How We Can Help.

See below for the services we offer

Mortgages

Whether you're a first time buyer, looking to remortgage or buy-to-let, we can help.

Protection

Protect yourself and your family financially, we can help.

Business Protection

Every business needs to protect itself. For most businesses the most valuable asset it has is its people. 

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07855 767968
 

07855 767968
21 Otteridge Road,
Bearsted,
Maidstone ME14 4JR.

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