Anyone that owns a television has heard the popular opinion that mortgage brokers are not always on the up-and-up. The news is never short of stories about crooked mortgage brokerage firms. It is no wonder that most people are not very trusting of their mortgage broker.
A London Mortgage Broker specialist will be able to guide you though all of the complexities of such a deal. They will also be able to help you make a purchasing decision by informing you of the advantages and disadvantages. In certain situations, your broker has the ability to negotiate better terms.
Refrain from overstating your income and understating your expenditure. It is illegal to lie about your income on a Mortgage broker application. Remember that lenders will carry out checks to ensure you are able to make your payments each month.
You were given a Self Certification Mortgage even though you were employed at the time. A Self Certification Mortgage is meant for self employed people who do not have evidence of a steady income. Since they are high risk, they are charged a higher interest rate. If you were employed and sold such a mortgage, it is a mis-sold mortgage.
A 30 year fixed mortgage rate is the most common program but many borrowers do not know about other available terms. There are mortgage programs available with 10, 15, 20, 25, 30 and 40 year terms. If you choose a longer term you will receive lower monthly payments for your home. However, with a longer term comes a higher rate. This means you are paying more money towards interest and less money toward your mortgage every month.
If you are unsure about home loans, a mortgage broker can help you with the task. There are many different ways that you can borrow money. Most people will shop around a few banks and choose the best rate. This does not always ensure that you get the cheapest home loan. The best bank is not necessarily the one with the best rate. Many banks which boast cheap interest rates have hidden fees and charges which actually have you paying more money at the end of the day.
So before you sign any paper work with anyone, have a clear idea on your responsibility and the fees that will be incurred with your loan. With such a big investment, you do not want to have any surprises that will leave you stresses and unable to repay the loan. In a nutshell, take your time and ensure that your mortgage broker has a clear idea of your requirements.