Choosing the right type of mortgage with a financial adviser
Mortgage financial adviser
Not all mortgages are equal – and not just when it comes to how big the loan is and the terms of repayment. Different mortgages come with different features, so it’s best to seek the help of an independent Mortgage financial adviser broker to make it easier to decide which type of mortgage is right for you.
Here’s a short guide from Oracle’s independent Mortgage financial adviser brokers on the different features you can get from a mortgage deal.
Offset mortgages allow you to pay off your mortgage quicker while still letting you withdraw money from your savings account.
However, offset mortgages aren’t so good for people using their savings interest as extra income.
Current account mortgages
Similar to offset mortgages, a current account mortgage allows you to use the money in your current account, instead of your savings account, to reduce the amount of money you owe.
The amount you owe will go up and down depending on how much money you have in your current account.
Like with an offset mortgage, a current account mortgage will give you the opportunity to pay off the mortgage quicker.
Flexible mortgages offer some features which can be helpful to certain people.
Mortgages sometimes come with a choice to take payment holidays, which means you can stop paying the mortgage for a certain period. This is good for times when you need cash for something else.
Some mortgages also allow you to under- or overpay, allowing you to either pay off the mortgage quicker, or pay less money when you don’t have as much cash (though ultimately increasing your overall debt).
As the name suggests, when you take out a cashback mortgage, you are given some cash. This could be a fixed amount, or a percentage of what you borrow.
Cashback mortgages can be good for things like buying furniture for your new home, or for any maintenance you might need to do.
However, cashback mortgages usually come with higher interest rates.
When you receive Mortgage financial adviser advice from Oracle, we will help you decide whether a cashback mortgage is right for you.