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Repayment Mortgages
Also known as capital mortgages, Repayment mortgages are the traditional means of paying for a property so that eventually it becomes fully yours as a result of the payments. The term of a repayment mortgage is typically 25 years and at the end of that period you would, if payments have been kept up, owe nothing to the lender.
Your mortgage payments are divided into capital repayments which are repayments of the money you borrowed and interest payments which are repayments of the interest charged for the loan.
Every month you pay off some of the interest and some of the capital. The monthly repayments on a repayment mortgage will be greater than an equivalent interest only mortgage.
Interest Only Mortgages
As the name suggests with an interest only mortgage you are only paying off the interest on the loan. The capital remains unpaid.
Typically, interest only mortgages run alongside an investment. The idea being that the investment is used to pay off the mortgage at the end of its term.
The danger with this type of mortgage is that if the investment is unsuccessful you could have insufficient money to repay the mortgage amount borrowed at the end of the term.
Proof of investment is no longer required by the majority of lenders for interest only mortages. |
Remortgages
Remortgaging is very popular, and with good reason. A lot of the time you will find that there are many lenders who offer a lower interest rate than what you have already and special incentives such as free valuation & free legal's (subject to status and availability) makes the process of changing lender that bit easier.
With our fantastic re-mortgaging facilities, you could also consider the following:
- releasing equity in a property you already own to buy the things you have always wanted.
- consolidating your loans into lower monthly mortgage payments.
- clearing any mortgage arrears and making a fresh start with a new mortgage lender.
- purchasing a second home for your family.
As we have access to most UK lenders, our aim will be to arrange you a suitable mortgage with a lower interest rate than your current mortgage deal. We will do the shopping around for you.
Adding existing debts to your mortgage may both extend the repayment term and increase the overall cost of the debt.
Buy To Let Mortgages
Whether you are an experienced investor with a Buy to Let portfolio or looking to purchase your first Buy to Let property, Mortgage Maze is here to help you.
There are now plenty of competitive mortgage deals around that are specifically aimed at the buy-to-let market, let Mortgage Maze find the best one for you.
Buy to Let mortgages are not regulated by the Financial Services Authority.
No Proof Of Income (Self Certification)
Self-certification mortgages are for people who for a variety of reasons, find it difficult to evidence their income. They may have commissions, bonuses, overtime, irregular payments, multiple jobs, self employed and more.
The great benefit of self-certification mortgages is the amount you borrow is based on the income you declare, stated in a signed declaration on the mortgage application form.
It is very important to note that if you make false declarations and/or inflate your income on a mortgage application form you may not be able to afford your mortgage repayments. You may also face criminal prosecution for mortgage fraud. All applications will be subject to a feasibility assessment.
Self Certification / No Proof of Income - The overall cost for comparison is 7.6% APR. The actual rate available will depend upon your circumstances. Ask for a personalised illustration
Adverse Credit Mortgages
Sometimes people get into debt through no fault of their own. Even those that do, want to sort things out. Fortunately, there are now lenders willing to provide adverse credit mortgages. If you have arrears, defaults or CCJ’s, your credit applications may be rejected by high street banks and major mortgage companies. Mortgage Maze specialises in matching your application to the lenders most likely to approve it, so your chances of getting a mortgage are still possible. No matter what your credit rating is, we may still be able to get you a mortgage.
Adverse Credit/Credit Problems - The overall cost for comparison is 9.3% APR. The actual rate available will depend upon your circumstances. Ask for a personalised illustration
Protection Cover
Life is complicated enough when you're fit, well and have a steady income coming in. No one needs the added financial, practical and emotional problems that a death, or serious illness can bring.
But sometimes, without warning, these things happen. Our aim is, quite simply, to protect you and your family against any financial ups and downs. Protection insurance is designed to help when the things we hope will never happen to us, do! Mortgage Maze will advise you on a range of cover that is comprehensive, affordable and easy to understand. We will tailor a plan that suits your individual needs and budget perfectly.
Home Information Packs (HIP'S)
If you're buying or selling a home you need to know about Home Information Packs (HIPs). They have been introduced with the dual aims of improving the home buying process in England & Wales and helping reduce carbon emissions from homes. Bringing vital information to the front of the process will help to reduce the amount of sale and purchase transactions that fall through.
Sellers
You will be responsible for the contents and accuracy of the HIP, whether you sell privately or through an estate agent. You will need to order a HIP before marketing can commence. The EPC (see below) must be provided before contracts are exchanged, although there is currently no set time limit on when the rest of the HIP should be provided.
If you are marketing a property from 1st June 2008 onwards, the HIP including the EPC must be available to anyone interested in the property from the time it is first placed on the market.
A HIP will contain the following documents: -
Index
Sales Statement
Land Registry Title & Plan
Energy Performance Certificate (EPC)
Copy of the New Homes Warranty
Local Authority Searches
Drainage and Water Searches
Leasehold Information (where applicable)
Optional Documents i.e. Home Condition Report (survey)
Buyers
The Pack will offer you essential information about the property you wish to buy, for free.
How do I order a HIP and how much will it cost?
You can order a HIP by calling Mortgage Maze on 01303 257098, or fill in our online enquiry form and we will contact you with your HIP quotation. We can order your HIP online within minutes and book an appointment for your Energy Performance Certificate to be carried out.
The cost of your HIP will vary according to the property. We will tell you the exact cost when you contact us.
Will some Estate Agents be offering free HIPs?
We understand that some estate agents will be offering 'free' HIPs, however nothing comes for free and it is likely that the cost of the HIP will be recouped through increased agency fees. In addition, should you wish to switch agents you will undoubtedly be liable for the cost of your 'free' HIP.
If I order a HIP through Mortgage Maze will it be accepted anywhere?
Yes. We arrange our HIPs through Hipstar, who are one of the leading HIP providers in the UK. Hipstar adheres to the HIP Code and is regulated by the Property Codes Compliance Board.
How long will it take to get my HIP?
In most instances a HIP will take 5-7 working days to be compiled for freehold properties. Due to the additional detail that is required for leasehold properties they may take longer. You will be able to track the progress of your HIP online and you can be sure that the information included will be of the highest standard, with accuracy guaranteed.
What does a HIP look like?
In most cases potential buyers will access your HIP online. Our standard HIP package includes 2 bound paper copies of your HIP (160 - 260 pages approx) and a unique online link to your HIP.
You will be able to order further bound paper copies and USB's of your HIP for an additional cost. Please note you will not be under any obligation to provide a paper HIP to prospective buyers and can charge anyone for a copy should they insist upon one.
Will I still need to get a valuation carried out on the property that I am buying?
Yes - assuming that you are getting a mortgage. Lenders will still need to value the property that you are buying and, in most cases, you will have to pay for this. Even if the seller provides a Home Condition Report this will not contain a property valuation.
Home Information Packs are not regulated by the Financial Services Authority.
