If you are in the early stages of obtaining a mortgage, it can often be a stressful experience. However, the process can be made easier if you ask your mortgage broker the most important questions at the beginning of your journey.
Asking even a select few of the most important questions will help you gain clarity, better understanding, and put you in a great position to obtain the most suitable and desired mortgage deal for you.
In this latest blog, we’ll be covering the top eight questions to ask your mortgage broker (feel free to ask us right away!).
The top questions we’ll be covering include;-
- What types of mortgage loans do you offer?
- What is the current interest rate and how does it compare to other lenders?
- What is the loan term and repayment schedule?
- How much can I borrow?
- How much deposit will I have to put down?
- Will the mortgage be transferable?
- Can you provide mortgage protection?
- How long will the mortgage process take?
1.) What types of mortgage loans do you offer?
It’s crucial to understand the range of mortgage products available to determine which one suits your needs best. Common types of mortgage loans often include; fixed-rated, variable-rate and adjustable-rate mortgage loans. It’s important to communicate with your local mortgage to weight up all options and select the option that is most feasible for you and in line with your own financial goals and circumstances.
2.) What is the current interest rate and how does it compare to other lenders?
Comparing interest rates can help you ensure you’re getting a competitive offer. Fortunately, Thameside Mortgages have access to over 90 lenders, including specialist lenders, which puts us in a great negotiation position to source the best mortgage deal for you on the market.
3.) What is the loan term and repayment schedule?
Knowing the duration of the loan and the structure of payments allows you to plan your finances accordingly. Loan terms can vary from 20 to 35 years and with some other variation in between. It’s highly important that you understand all the ins and outs of loan terms and repayment schedules so you can plan on a monthly basis for all outgoings.
4.) How much can I borrow?
Mortgage advisors aim to determine your borrowing capacity by asking specific questions about your employment, contract type, monthly income, and expenses. This information helps them assess your financial situation and provide an estimate of the amount you may be eligible to borrow. If you can’t borrow as much as you would like to, it may be suggested that you save for a larger deposit or improve your creditworthiness.
5.) How much deposit will I have to put down?
This is another key question that is important that you find out in the early stages of your mortgage application process. Fortunately, Thameside Mortgages can quickly find this out for you after a few key questions. For first-time-buyers, the typical deposit is 10-15% of the property purchase you’re looking into. However, this may vary depending on variable factors such as employment status, employment type and other factors.
6.) Will the mortgage be transferable?
You should also ask your mortgage broker; will the mortgage be transferable? This is especially important if you’re seeking to move property within the next few years. This is also important to know if you have obtained a desirable fixed-rate mortgage that you want to reap the benefits of for the next 2-5 years.
7.) Can you provide mortgage protection?
Purchasing a property is the most costly financial investment that you are likely to make in your lifetime. Therefore, it makes complete sense to look into mortgage protection. Fortunately, Thameside Mortgages provide comprehensive mortgage protection alongside additional protection products. It’s always wise to ask this question within the early stages.
8.) How long will the mortgage process take?
Understanding the timeline from application to closing will help you plan your move or other related activities. It’s unlikely that an exact estimate can be given by your local mortgage broker but they should be able to give you an approximate timeframe.
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