| Looking to refinance? May be tougher, now
Some homeowners who counted on refinancing their mortgages at more affordable rates will find the door closing quickly on that option as lenders clamp down on making high-risk loans, according to Northeast Florida officials in the home financing field. .
Choose the right type of mortgage for your needs
You'll likely face many major decisions to make when you're ready to take the homeownership plunge, not the least of which is choosing the right kind of mortgage for your needs. Mortgage options used to be fairly limited, but in recent years new varieties have abounded. Here are some of the more common types: Fixed-rate mortgage. You make the same monthly payment throughout the term of your loan, usually 15, 30 or even 40 years. Shorter-term mortgages offer lower interest rates but higher monthly payments, so you may not be able to afford as expensive a house. However, over the life of the loan you'll pay thousands of dollars less in interest - and, you'll build equity in your home much more quickly. Adjustable-rate mortgage (ARM). Your interest rate and monthly payment move up or down, depending on how the market index it's tied to performs.
Britannia makes it easy
Latest figures from the Council of Mortgage Lenders show a massive 85 percent of first time buyers are opting for a fixed rate mortgage.
As part of its commitment to helping first time buyers, Britannia Building Society has pledged its highly competitive three and five year fixed mortgages will remain in place.
The lowest rate three year fixed has a rate of 5.34 percent and the lowest rate five year fixed has a rate of 5.24 percent. Customers have the choice to reduce their initial set up fees and remortgage customers can switch for free to a very competitive rate.
Not only is Britannia providing security, it is also offering people a way of saving thousands of pounds for those who can see further than a fixed rate deal.
By switching to its flexible mortgage, people can save almost £40,000 on their mortgage and be mortgage free sooner than they think!
By simply cutting out a packet of cigarettes a day and buying one less pint of beer/glass of wine a week, borrowers would save an average of £160 a month - which could be added on to their mortgage payment.
|
