Your mortgage questions answered: A friendly guide from your mortgage broker, in plain English.
How much can I realistically borrow?
Lenders typically offer 4–4.5x your annual income, but it's more nuanced than that. They'll look at your outgoings, debts, credit history, and income type. I'll do a thorough affordability assessment, so we know what's achievable before you fall in love with a property just out of reach.
Which type of mortgage suits me?
A fixed rate gives you certainty. Your payments stay the same for 2, 5, or even 10 years, great for budgeting. A tracker moves with the Bank of England base rate, so it can go up or down. It depends on your plans and your appetite for risk. We'll talk it through together.
What deposit do I need, and how does it affect my rate?
The more deposit you have, the better the rate. Key thresholds sit at 90%, 85%, 80%, and 75% loan-to-value. Even nudging from 90% to 85% can unlock significantly better deals and save you thousands over the term.
How long should my mortgage term be?
The longer the term, the lower your monthly payment. But the more interest you'll pay overall. A 25-year term is traditional. But we're seeing more first-time buyers stretching to 30 or even 35 years to keep monthly costs manageable. The good news is that you can often overpay or remortgage later to shorten the term. I can model a few different scenarios for you, say, 25, 30, and 35 years, so you can see exactly what the trade-offs look like in pounds and pence.
What happens at the end of my initial deal?
When your deal ends, you roll onto your lender's Standard Variable Rate, which is usually much higher. I'll be in touch around 6 months before that happens to make sure we get you onto something competitive before your payments jump. Let me know if you are approaching and want to get organised.
Are there early repayment charges?
Most fixed deals carry Early Repayment Charges (ERCs) of 1–5% if you pay off or remortgage early. If you're likely to move in the next few years, we'll look at shorter fixes or more flexible products. I'll always flag charges clearly. No nasty surprises.
What protection products do I need?
Getting the mortgage is just one piece of the puzzle. Protecting it is equally important, and it's something I take seriously. I'll always have a conversation with you about life insurance (to pay off the mortgage if you pass away), critical illness cover (pays a lump sum if you're diagnosed with a serious condition), and income protection (replaces your income if you're unable to work). These aren't just add-ons, they're genuinely important, and the right cover can be more affordable than you'd think. I'll never push you into anything, but I do want to make sure you and your family are protected.
Have any more questions? Or are you ready to evaluate your current mortgage? Give us a call today. Don’t forget to forward this to anyone looking to get on the property ladder, purchase a new home, or remortgage.
Your home or property may be repossessed if you do not keep up repayments on your mortgage or any other debts secured on it. A fee may be charged for mortgage advice. The exact amount will depend on your circumstances.
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