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When you take out a remortgage in Hull, you are essentially taking out a new mortgage on the same property, usually with a different mortgage lender or a different deal from your current mortgage lender.
This can be a way to lower your monthly mortgage payments, access additional funds, or switch to a more suitable mortgage deal.
To remortgage in Hull, you will typically need to go through an application process with your chosen mortgage lender, provide documentation and information about your financial situation, and have a valuation carried out on your property.
Taking out remortgage advice in Hull can help with this. If your application is approved, you can then complete your remortgage in Hull and start making repayments on the new mortgage deal.
It’s important to note that remortgaging in Hull may incur additional fees, such as arrangement fees and early repayment charges, so it’s important to carefully consider whether it’s the right option for your personal circumstances.
Determining whether taking out a remortgage in Hull is a suitable option for you, will be dependant on your individual goals and circumstances.
Whilst many homeowners consider remortgaging in Hull to improve their quality of life or take advantage of their property, it’s not necessarily the best choice for everyone.
Here at Hullmoneyman, our dedicated team of remortgage advisors in Hull can help you assess your situation, evaluate your objectives, and determine whether taking out a remortgage is the right option for you.
We pride ourselves on offering a transparent service, and if remortgaging is not the right option for you, our dedicated mortgage advisors in Hull will inform you accordingly and suggest alternative solutions, if they are available.
As has been looked at above, taking out a remortgage in Hull will just be a new mortgage once your initial deal period has ended, replacing the previous deal. There are a wide variety of reasons as to why someone may look to do this.
You may still be curious of the different types of mortgage that could be available to a homeowner who is looking to remortgage in Hull, such as yourself. Below are the most popular of these options.
A fixed-rate mortgage is a type of mortgage where the interest rate remains constant for a specified period, usually between 2 to 5 years.
It provides homeowners with the assurance that their mortgage payments will remain the same, regardless of any changes in interest rates during that fixed period.
While circumstances can change during the mortgage term, such as a change in income or a need for a larger or smaller property, being locked into a long-term fixed-rate mortgage can be costly, as it usually involves paying an early repayment charge to exit the mortgage before the end of the fixed term.
For this reason, most homeowners opt for 2 to 5 year fixed-rate mortgages, as they provide stability and consistency for a reasonable length of time, while also allowing the flexibility to make changes if needed.
Although interest rate decreases are unlikely, a fixed-rate mortgage can provide peace of mind in a potentially volatile market.
A tracker mortgage is a flexible type of mortgage that follows the Bank of England base rate. While the interest rate on a tracker mortgage will typically be a few percentage points above the base rate, it will move in line with any changes to the base rate.
For example, if your mortgage is at a 2% interest rate and the base rate is 0.75%, you will pay 2.75% on interest. If the base rate increases to 1%, your interest rate would increase to 3%.
Tracker mortgages are usually fixed for a set period, after which they transition to the mortgage lender’s standard variable rate. While this gives mortgage lenders the freedom to adjust your interest rate as they see fit, some tracker mortgages come with caps to limit the maximum interest rate you’ll pay.
One advantage of a tracker mortgage is that you’ll pay less interest when the base rate is low. Whilst this is a positive, there are some downsides to consider. For instance, if you decide that a tracker mortgage isn’t for you, you may face early repayment charges.
Additionally, when the Bank of England base rate goes up, your monthly payments will increase. Some trackers come with a “collar” which means that even if the base rate drops, your interest rate can only fall so far.
At the end of your mortgage term, you may have the option to switch to a discounted variable rate mortgage. Mortgage lenders offer their own variable rates, such as a standard variable rate, which is what borrowers move onto once their fixed period ends, if they don’t remortgage in Hull.
The discounted variable rate is typically set at a percentage below the mortgage lender’s standard variable rate. For instance, if the SVR is at 3.99% and your mortgage has a discount of 1%, your interest rate would be 2.99%.
As with tracker mortgages, your interest rate will change in line with any changes in the mortgage lender’s standard variable rate. By opting for a discounted variable rate mortgage, you will benefit from a lower interest rate than the mortgage lenders SVR.
In addition, if the mortgage lender lowers its SVR in response to a Bank of England change, you may enjoy an even lower interest rate. Compared to other mortgage types, early repayment charges tend to be lower with discounted variable rates.
Purchasing a property can be considered an investment, regardless of whether you intend to reside in it or rent it out as a buy to let/let to buy property. The expectation is that the value of the home will appreciate over time.
Besides being the most valuable asset you’ll own, it provides shelter for you and your family. In fact, future generations may benefit from the property ownership if you decide to pass it down.
The property market is unpredictable and house prices may fluctuate, at times increasing or decreasing.
Interestingly, when property prices are high, mortgage rates may be more favorable. Thus, it may be advantageous to explore your remortgage options to take advantage of the available deals.
You can find out more about this topic in our article “Remortgaging in Hull When Your House Value Has Increased“.
As you head towards the end point of your current mortgage deal, whether it’s a fixed or introductory period, a mortgage lender may offer you a chance to take out a new mortgage deal but stay with them. This type of process is known as a product transfer.
Although remortgages in Hull and seeking remortgage advice in Hull are often discussed as the more popular options for homeowners to take, product transfers in Hull are arguably just as sought after.
Nevertheless, you are not obligated to accept the deal offered by your mortgage lender, as remortgaging in Hull enables you to explore potentially better deals with other mortgage lenders, which a product transfer may not offer.
In any case, it is always beneficial to seek expert mortgage advice in Hull beforehand.
To understand how product transfers work, please feel free to take a look at our article “Should I Take My Mortgage Lenders New Deal? Product Transfers vs Remortgages in Hull“.
Typically, your initial mortgage deal will have a duration of 2-5 years and offer low fixed or discounted rates. In some cases, you may have a tracker mortgage, which follows the Bank of England’s base rate.
However, when your term ends, you will likely be shifted to the mortgage lender’s Standard Variable Rate (SVR). In essence, the SVR is a mortgage with an interest rate that may change based on the mortgage lender’s discretion, unlike a tracker mortgage that follows the Bank of England’s base rate.
Consequently, SVRs can be the most expensive option, leading many to explore remortgaging for better rates, potentially reducing your monthly mortgage repayments.
It’s always recommended to seek expert remortgage advice in Hull before making any decisions.
If you have been living in your home for a number of years now or your circumstances have changed, you may find that you need more living space, a larger kitchen, or a home office.
Instead of relocating to a larger property, you could consider releasing equity through a remortgage in Hull to cover the costs.
Although the idea of obtaining planning permission and managing your own home improvement project may seem intimidating, some believe it is less stressful and more rewarding than the process of purchasing a new home, selling your current one, and moving your belongings.
In the long term, creating more space and maintaining the property could potentially increase its value. This is beneficial if you ever decide to sell or rent out your property.
Read more about one potential option for a remortgage for home improvements in our article “Remortgage for a Home Extension“.
Remortgaging in Hull can also be a smart move if you need to make changes to your mortgage term. You might opt for a shorter term, which means you’ll pay off your mortgage sooner, although your monthly payments will be higher.
On the other hand, a longer term will result in lower payments over time. Some homeowners may prefer a more flexible mortgage term, allowing them to overpay and pay off their mortgage faster. It also means that they can take the same mortgage and rates to another property if they move in the future.
That being said, flexible mortgages usually come in the form of a tracker mortgage that follows the Bank of England’s base rate. As a result, your payments may fluctuate based on interest rates, which may not be ideal for everyone.
Property equity represents the difference between what you still owe on your mortgage and the current value of your home.
This equity can be leveraged to cover various expenses, from home improvements to long-term care costs, from supplementing your income to going on a holiday or perhaps something else entirely.
Buy to Let landlords in Hull can also use remortgaging in Hull to release equity and fund their deposit for purchasing additional properties to expand their portfolio.
One of the reasons people may choose to release equity from their property is to consolidate their debts.
Whilst this is the case, it’s important to note that the amount you can borrow is based not only on the amount you owe and the value of your property, but also on your credit rating, which may limit the amount you can borrow.
In order to pay off your mortgage and your debts, you may need to borrow more than your outstanding mortgage amount, resulting in higher monthly repayments. Although it may not be an ideal situation, it’s good to know that you have options available to you in case of financial hardship.
Even if you have a poor credit rating, there are still options available to you. That being said, these options may not be easy and require the assistance of a specialist remortgage advisor in Hull before moving forward.
Keep in mind that there is no guarantee of success, but it’s worth exploring your options if you’re struggling with debt.
You should think carefully before securing other debts against your home. By adding your unsecured debts to your mortgage, which is secured on your home, you are potentially putting your home at risk if you cannot make the required repayments.
Although the total monthly cost of servicing your debt may have reduced, the total cost of repayment may still have risen as the term of your mortgage is longer than it may have taken to repay the debts originally.
We suggest that you begin exploring your remortgage alternatives about 3 to 6 months before the conclusion of your initial mortgage offer.
This will provide you with sufficient time to consult with a specialist in the industry for remortgage guidance and prepare for your new mortgage, which will begin just as your current deal expires.
On the other hand, you may want to consider remortgaging in Hull early if your home’s value has increased since you initially purchased it, as this could allow you to raise capital for purchasing a buy to let property or making home improvements using the extra funds.
You can learn more about this by looking at our article “When is the Right Time to Remortgage in Hull?“
Although there are no legal restrictions, if you decide to remortgage prior to the end of your fixed-rate period, you may have to pay an early repayment charge (ERC).
If your current mortgage has a fixed rate period of five years, it’s advisable to begin considering remortgaging in Hull once the fixed term is nearing its end point.
Failing to do so may see you shifting across to your mortgage lender’s standard variable rate (SVR), which could potentially have a higher interest rate than your initial deal.
Providing you can show that you are capable of making on-time repayments, it may still be possible to remortgage in Hull, even with bad credit.
It’s more beneficial for you the further back your credit issues are, though some mortgage lenders may overlook minor issues such as disputes with mobile phone providers.
The interest rate for the remortgage will depend on your credit score and the amount of equity you have in your home. Additionally, when seeking remortgage advice in Hull, you can also consider capital raising options.
At some point as a homeowner, you will reach the end of your initial fixed period and will have the option to remortgage your property.
Remortgaging in Hull is essentially taking out a new mortgage on the same property, either to replace the current mortgage or to borrow against the equity in your home.
There are various reasons why people choose to remortgage in Hull, including capital raising, home improvements, and more. Additionally, some may not be aware that remortgaging can also be used to purchase another property.
Sometimes homeowners may have accumulated some extra savings that they can use to finance the deposit for another property. Typically, homeowners who receive extra income during their mortgage term will put it towards paying off their remaining mortgage balance.
Whilst this is the case, instead of using your savings or extra income, you can also think about your equity. Equity is the difference between the value of your property and the amount left on your mortgage balance.
If you have enough equity in your home, you may be able to release some of it through a remortgage in Hull, to fund the deposit for a new property. This is a smart way to use the money that is currently locked in your home.
Our team provides expert remortgage advice in Hull, and our mortgage advisors have a great deal of experience in dealing with remortgages to release equity, so they will be happy to assist you in this matter.
By now, you are likely more knowledgeable with the concept of equity, but there’s yet more to know. If you are over 55, you might want to consider equity release as an option. This is a little different from remortgaging to release equity.
Equity release in Hull usually comes in the form of a lifetime mortgage. At the end of your mortgage term, or even if you still have payments remaining, you could potentially release equity by taking out a lifetime mortgage.
This means borrowing money secured against your home while still retaining ownership.
It’s possible to ring-fence a portion of your property’s value, often used as an inheritance for your family. You will have to pay interest on what you owe, but it’s common to let the interest accumulate in the property.
When the mortgage borrower passes away or enters long-term care, the home is sold, and the sale proceeds are used to pay off the mortgage balance. Any remaining funds go to your beneficiaries.
Most lifetime mortgages come with a no-negative-equity guarantee, which means that you or your beneficiaries will never have to pay more than the property’s value, no matter how high the debt goes.
Lifetime mortgages in Hull are a highly specialised type of mortgage, so it’s crucial to get mortgage advice in Hull and talk to an experienced later life mortgage advisor before considering this option.
Virtually all lifetime mortgages in Hull, including all of the ones we recommend, follow the standards that have been set out by the Equity Release Council. This brings some vital protections for borrowers, that your later life mortgage advisor in Hull will discuss with you during your appointment.
To understand the features and risks, ask for a personalised illustration.
A lifetime mortgage in Hull may impact the value of your estate and it could affect your entitlement to current and future means tested benefits. The loan plus accrued interest will repayable upon death or moving into long term care.
Learn more about Lifetime Mortgages in Hull, by reading our article “What is a Lifetime Mortgage in Hull?“
If you are reaching the end of your introductory or fixed-period and are looking at taking out a remortgage in Hull, feel free to book in for a free remortgage review today. You’ll benefit from receiving expert remortgage advice in Hull, provided to you by a trusted mortgage advisor in Hull.
Buying a property is an investment, whether you live in the property or rent it out as a buy to let/let to buy, you would hope that the value of the home will increase over time. Not only is this the largest asset that you will own, but they also provide a roof over your head and your family. Generations to come may even benefit from this property if you choose to pass down the property ownership.
The property market is constantly fluctuating, there will be times were house prices slightly dip and sometimes they will soar. Whilst property prices are up surprisingly there are often more favourable rates in the market, therefore, it could be a great idea for you to look at your remortgage options to take advantage of the deals available.
Loan to value (LTV) is the ratio of the mortgage to the property value. Your LTV ratio will be expressed as a percentage, for example, if you are purchasing a property in Hull worth £200,000 and you are planning to put down a 5% deposit (£10,000), you will need to take out a 95% LTV mortgage.
In the mortgage market, LTVs are broken down into tiers/brackets, with the lowest bracket usually being 60% and the highest 95%. Not all lenders will offer 95% LTV mortgages and not all lenders will offer 60% LTV mortgages, it all depends on the lender.
The lower the LTV mortgage that you take out, the more favourable mortgage deals you should be able to access.
In the future, say your £200,000 property has increased in value to £210,000 and your initial £195,000 mortgage balance has come down to £180,000. This means that your new loan to value is 86%.
Because your LTV has decreased, you should be able to access better rates of interest when you remortgage. In some cases, the economy can impact the rates available in the market, so even if your LTV has decreased, unfortunately, the rates may shoot up because of the economy.
The reason why lower loan to value mortgages have a more competitive rate of interest is that you are less of a risk to the lender.
Just like when your property price was valuated prior to your purchase, the same process will happen again before you remortgage. You won’t need a new property survey, such as a homebuyer’s report or full structural survey, you will just need a mortgage valuation. A mortgage valuation will determine the true value of your home.
When you remortgage in Hull you will be taking out a new product with your new mortgage lender, whereas when you take out a product transfer, you will be taking out a product with a different lender. This doesn’t make a difference to the process. A mortgage valuation will still be carried out with a product transfer.
It’s all a risk game for the lender, they always need to know the true price of the property that they are lending against.
Mortgage valuations can be carried out in two separate ways, the first is by using an Automated Valuation Model (AVM), also known as a desktop valuation. For this valuation, somebody will not come out to your property, they will look at databases to cross-reference similar properties in your local area to determine the value.
The other type of valuation is a physical inspection, where somebody will come and visit the property to look inside and outside to work out the true property value. An in-person valuation can benefit homeowners that have invested in home improvements or extensions, as these additions can add value to the property. AVMs will unfortunately miss these factors. If you would prefer a physical valuation, speak with your mortgage advisor in Hull so that they can mention your preferred valuation method to your lender.
Whilst having equity within your property can add the benefit of being able to access competitive mortgage products, in some cases you may want to release some of the equity during your remortgage.
The equity within your home is essentially how much you have paid off your mortgage. Using the same example from before, if your current mortgage balance is now at £180,000 (86% LTV from your newly valued £210,000 property) you have 14% equity within your home. Some property owners may want to release a small portion of this equity when remortgaging.
Releasing equity will mean that your LTV will increase though, potentially making your monthly payments increase again. However, if you use the equity for something such as home improvements, you may find that your property value increases and the investment in these improvements will benefit you financially in the future.
When dealing with such a large financial asset, it is important to know the positives and benefits of releasing equity. One of our remortgage advisors in Hull will be more than happy to help you with your remortgage if you need advice.
Depending on how far you are through your fixed mortgage term, it may be possible to remortgage early.
The downside to remortgaging early is that you may have to pay an early repayment charge (ERC) for doing so. This is because you are breaking your initial contract terms. We will say that you should only remortgage early if you are certain that it is the best thing to do for your financial situation.
In some cases, remortgaging early when your home value has increased can allow you to access a better rate of interest, and paying the ERC could potentially save you money further down the line.
An example of a good time to remortgage mid-way through a fixed term would be during the COVID-19 global pandemic when the Bank of England base rate dropped. Remortgaging early would’ve possibly meant that you could’ve secured a better rate. Despite facing an ERC, if your new rate was significantly lower than your old one, you would end up saving money in the long run and it would prove that the ERC was worth paying.
This niche example is from a strange time in our lives, but it just shows how sometimes remortgaging early can save you money. We always advise speaking with a mortgage broker in Hull prior to remortgaging early, just so you don’t end up losing out on money.
This is something that we find ourselves being asked regularly by both homeowners and potential home buyers in Hull. The answer to this question depends on entirely on what sort of market we are in and how it is performing.
In order to stay more up-to-date with the mortgage market, including hot topics such as mortgage interest rates and government schemes, take a look at “Mortgage Market Update” playlist on YouTube. We regularly post these types of videos to ensure that all of our customers are “in-the-know”.
Mortgage rates are the level of interest that a mortgage lender will be charging you on your mortgage balance. This will determine the cost of your monthly mortgage payments, as you are paying, generally, a combination of interest and capital. Lower mortgage rates typically means lower payments.
There are a lot of different factors that can affect what your mortgage rates will be. One that you can absolutely have control over, is any personal factors that will determine if you qualify for a mortgage.
This will include things like your credit score or deposit. The lower the risk, generally, the better the rates. An open & honest mortgage broker in Hull will be able to take a look at your situation, helping you to find the best mortgage deal that is available to you, for what it is you are hoping to achieve.
Our dedicated mortgage advisors in Hull have the ability to search through 1000s of deals, including many different specialist mortgage deals, for customers who perhaps have more complex cases.
What it all comes down to really, at the end of the day, is the current market position, the state of the economy and the base rate of the Bank of England. If the economy is performing well, there will typically be a higher demand for both goods and services, which includes properties.
Higher demand will also usually mean that the Bank of England base rate will go up too, which sees mortgage rates following. The mortgage rates set by mortgage lenders are usually set at a percentage above what the Bank of England base rate is.
Whilst a stronger economy could mean that home buyers can afford more, mortgage lenders aren’t made of money. Because of this, when the base rate is up, the cost of borrowing for mortgage lenders will also rise, which also brings up mortgage rates to cover their borrowing costs.
When the economy isn’t necessarily doing so well, this works conversely to how we mentioned above, as consumers will not be able to afford as much. Because of this, you will typically see interest rates coming down as a why to encourage people on the property ladder with potentially lower payments.
As discussed above, one of the biggest factors for changes in mortgage rates, is changes to the Bank of England base rate. As a general rule, mortgage lenders will set their interest rates at a percentage above this. This means that depending on the base rate, this could fluctuate.
Something else that can have an effect on the Bank of England base rate, however, is any changes to inflation. The government ideally have a target in mind that they need to keep at, in order for the cost of living to remain affordable. Unfortunately, this has been known to go over the target.
In situation such as these, you may see the cost of living increase, though unlike the example of a strong economy meaning people may be able to afford more, this can be quite the negative and seeing people unable to afford as much as they would have done.
This of course isn’t exactly the best news for those with ending fixed-rates, as it means they may struggle to afford price increases that are set to take effect once their initial period has ended. In cases like this, a mortgage advisor in Hull can be incredibly beneficial.
The Bank of England base rate tends to have fluctuations anyway, although usually only very slightly. Tracker mortgages are a type of mortgage that will be following along with this base rate, sitting at a percentage above and moving as and when the base rate moves.
When the base rate is a little low, this can work out quite well, as your monthly mortgage payments will be lower. Unfortunately, if mortgage rates were to go up, you would also be paying more on your monthly mortgage payments, which can change fairly quickly.
An option that could be better for this, which is actually one of the most popular mortgage types you could choose from, is a fixed-rate mortgage. These allow you to lock-in to the interest rate at the time, keeping your payments the same for a set period.
These time periods tend to be between 2-5 years, though they don’t necessarily have to be. An example would be, if your interest rate was 4% and you were fixed-in for 5 years, you might see rates rise to 6% during that time, yet still be paying 4% until that 5 years is up, saving you money.
In times where the economy is a little uncertain, a fixed-rate can provide certainty and stability, giving homeowners one less thing to stress about at home. The downside is that if rates have indeed gone up during this time, when your fixed-period ends, you will move onto a higher rate anyway.
This sort of thing occurring can actually lead some homeowners to remortgage quite early, even being willing to fork out for an early repayment charge, in order to fix in for a longer period and protect themselves from future interest rate increases that could be on the horizon.
This really boils down to predictions, how do you see the interest rates changing, as well as your own personal situation changing. As said before, personal factors also can impact mortgage rates, so having a higher deposit will potentially open you up to much lower rates anyway.
If you find that you are in that situation, taking out a fixed-rate mortgage could be beneficial, to stick to those interest rates you have given yourself access to. So long as the economy performs well also, fixing in for 2, 5, maybe even 10 years could see you reaping the benefits of those rates.
Of course this entirely depends on circumstance, and 10 years is a long time to wait. During that time period, you could even see interest rates drop lower than you first fixed in for, meaning you are paying more per month than you could’ve been, if you’d only fixed in for say 2 years.
A trusted and experienced mortgage broker in Hull will be able to best help you prepare for your mortgage future, as well as help you make any decisions based on your plans. They will use their knowledge to help you every step of the way.
Interest rates can change without warning really, depending on the current state of the economy, the market and also, the Bank of England base rate. Match it up with your personal circumstances, and there can be much uncertainty.
By booking yourself in for free remortgage advice in Hull towards the end of your fixed-period, or first time buyer mortgage advice in Hull if this is a new experience for you, you can benefit from experts in the field helping you to find the best mortgage deal, with the most favourable mortgage rates.
When it comes to divorce or separation, it can be a challenging time. Processing the separation along with arranging finances as well as where you are going to live can slowly build up a lot of stress. Financial commitments should be at the top of your list and may come with some hurdles to overcome.
If there are children involved in these situations, the most common arrangement parents go for is where the children would live with the parent who is more of a stay at home parent. This means that the other parent would move out and there may be a point that whoever is ‘in situ’ wants to carry on the mortgage as a sole applicant. Another option is for both parents to leave the mortgage and begin their own.
Any mortgage commitments you made together could be an element that makes the process a challenging one. If you are finding it difficult to sort this out, you may look at the assistance of a Mortgage Broker in Hull who can provide you with the specialist mortgage advice in Hull you need.
Through our time as an expert Mortgage Broker in Hull, our deal encounter with specialist cases on a daily basis. Our experience has provided us with the opportunity to help and guide a large range of customers experiencing a divorce or separation. Below is the top three questions we get asked when people get in touch:
With your mortgage commitments, it can be difficult if you are looking to change these. This is because both of your names are on your mortgage and it’s not as easy as it seems if you are looking to remove your now ex-partner off the contract.
If you do approach a dedicated Mortgage Broker in Hull for advice about removing a name from a mortgage, they need to be certain that the remaining applicant on the is able to and afford their mortgage completely as a sole applicant.
Both of you are required to have a full affordability assessment carried out on both of you even if you have kept p with mortgage payments or not. Sometimes, an applicant has managed to prove that they have been paying the mortgage payments without any help from their ex. However, this will not change the fact that their name is still linked into the deal and you still need to pass the lender’s check.
Around this time in the process, our team often find that people have already sorted out someone who will step in and replace the ex-partner on your mortgage. Normally, the person who steps in is either a family member, a close friend or a new partner altogether.
The way your affordability is assessed varies between lenders as they have their own unique way of carrying it out. With this in mind, don’t lose hope if you existing lender can’t help you out. You might find there is additional options out there for you as a homeowner so it’s always best to seek the help of a Mortgage Broker in Hull.
The good news is that the process works just the same, however, you are trying to move out and take your name off the mortgage. As mentioned, both of your names are still linked to your mortgage which means you are still responsible for any mortgage payments even if you choose to leave.
Regardless of if you have a verbal or written agreement between you both that states that your ex will be the one managing payments, it is not legally binding in the eyes of the lender so you will be deemed responsible.
In the event that you want to take out a mortgage on a new property, in your name, the lender will still take into account the mortgage payments for your old property. Therefore, it’s best you consider this if you are thinking of taking out a new mortgage. This is we always advise getting help from a professional Mortgage Advisor in Hull ahead of time.
We have found that people in these types of situations usually get confused and stressed out. This is where Hullmoneyman can provide a helping hand. Our friendly team can connect you to be of our experienced Mortgage Advisors in Hull who will be able to sort everything out for you. They can also advise you on the most appropriate option available to you as an individual looking at Moving Home in Hull.
You may find that a number of lenders are more generous than others when it comes to the amount they will lend to you. One may be strict and the other may be more lenient with them looking into your current mortgage commitments being a large factor in this during these circumstances. This is something we will take into consideration when recommending the most appropriate lender to apply for a mortgage agreement in principle with:
Depending on a variety of circumstances, many homeowners may have the option to have more than one and even more than two mortgages on different properties. This will involve a lot of things to be assessed from your lender and their credit scoring system if you were looking to apply for a second mortgage.
The overall reason for carrying out these tasks is to determine whether or not you can afford this route. In the circumstance where you are applying for multiple mortgages and are failing, this could negatively impact your credit score in Hull.
One of the many benefits of approaching a reputable Mortgage Broker in Hull, like ourselves, is that we are able to carry out a search for you without harming your credit file. As soon as we have keyed in all of your information, we can give you an estimation of the maximum borrowing capacity.
By having this information, you are able to have a rough idea of your budget including the costs of your monthly mortgage payments as well as current financial commitments you may have.
Some individuals find it challenging to move on from their current financial commitment, especially in cases like these. If you are in a similar situation, an expert advisor can provide a helping hand which can provide you with the help you need for the process of removing a name from a mortgage.
The aspect of moving home is already a stressful experience so adding a challenging situation like a divorce or separation can sometimes add some extra weight to the situation. Speak to a Mortgage Advisor in Hull today to see how we can help you.
Any homeowner would never want to miss mortgage payments, however, unexpected events like an illness or family emergency can happen which could lead to financial difficulties. In particular, those with low income and minimal savings.
If you have no insurance policies in place that could cover your mortgage payments should unexpected events occur, this can make the situation challenging.
In this article, we felt we should answer the following questions: what should you do if you are in this situation and think you will miss mortgage payments, and how can you improve your credit score afterwards?
In the case where you feel you’re going to miss an upcoming payment on your mortgage, you need to inform your lender immediately. When you have missed a payment, this will show up on your credit record, which will affect your ability to remortgage when your old mortgage is coming to its end.
There might be an alternative available to help you avoid missing a payment, however, this depends on your lender’s criteria and situation. Lenders will provide support and guidance to borrowers who are going through a challenging time.
You should not feel embarrassed by your situation. This is a circumstance other people have been through, some struggling more than others. You won’t be the first person or the last person who has contacted them being in this situation.
It’s important to know that it isn’t the end of the world, however, this may negatively affect your credit rating. This does some down how quickly the situation is resolved and how well you communicate with your lender.
Your lender will inform the credit referencing agencies if you fail to pay your mortgage as this will negatively impact your credit score. As mentioned, lenders will generally have a set period after the payment due date. This will differ depending on the lender.
Struggling to manage multiple mortgage payments can result in defaulting on the loan agreement, meaning that your lender could take repossession action. Lender’s last resort would be repossession and eviction, they will generally negotiate with you and help make a repayment agreement.
Here at Hullmoneyman, our Mortgage Protection Advisors in Hull will recommend taking out the relevant insurance to protect you and your family from financial burden during unexpected health issues.
Depending on the protection insurance you take out, these will help pay for your mortgage and bills if you are off work sick or critically ill.
Please get in touch to speak to one of our specialists mortgage advisors in Hull if you are looking for support and guidance. They will be able to find out which insurance will be the best for you.
As could probably be predicted from us, we firmly believe that there are some great reasons for customers to use a mortgage broker in Hull.
As a fair counter argument though, whether it’s via a branch or online, it is still completely viable to go direct to the lender yourself. Luckily we find that most people prefer to make use of a mortgage broker.
Here we will take a look at the pros & cons to both sides.
When talking about the option of going directly to a bank or building society, the first thing that immediately springs to mind is that you’ll be free from any broker fees. This of course will save you money.
Whilst that may be a point for, an immediate point against comes to mind too. In previous years, you may have thought “the bank manager will know my finances inside and out”, though when credit scoring was introduced, this no longer became a factor in the process.
One reason why going direct could be preferable, is that some lenders offer exclusive mortgage products that are only available by going direct. This is done so to attract a good spread of business from consumers and brokers alike, switching these exclusive products as they see fit.
On the contrary to this, some products may only be available by going with a mortgage broker. In this case, you’re not only able to see potential exclusive deals from your bank, but other lenders as well. A bank can only offer their own products!
In 2014, the market changed and lenders were no longer allowed to sell mortgages on a non-advised basis to anyone who walked through their door.
Previously, it had been believed that non-advisors were trying to push actual advice on customers. This means they weren’t able to benefit from some of the consumer protection that comes with speaking to a professional mortgage advisor.
The changes meant lenders had to adjust. Heading towards the end of 2014, it was commonplace to be kept waiting over a month just to speak with an advisor. Sometimes today this situation still occurs, which is of course less than ideal when you have had an offer accepted and are ready to go!
Because of the issues that were occuring with these services, applications being made via mortgage brokers went on the rise. This is because many brokers out there, like ourselves, are able to offer customers a more flexible service, at times that best suit them.
When you book your free mortgage appointment with us online, you’ll be able to choose a timeslot that best suits your personal and work life. Oftentimes, your appointment can be booked in for the same day. There is no waiting around for somebody to get back in touch!
Affordability is definitely something that factors into people’s decisions to use a mortgage broker. No matter how good a lender’s deal might seem, you won’t get very far if they won’t lend you enough money!
Buying a house is so important to people, that many customers will opt to go with a trusted and dedicated mortgage broker for professional and personalised mortgage advice in Hull.
Nowadays we find that a lot of mortgage applications aren’t as simple as they once were. For one reason or another, there are a lot of contributing factors that can make the mortgage process a lot more challenging now.
Some examples of these are, but are not limited to:
In the past, it was a lot easier for lenders to stand out from the competition by simply offering a deal that was similar to, but better than another mortgage lender on the market. In modern times this is very different, with lending criteria being the big difference between one option and another.
An example of this is the differences in leniency towards those who are looking to obtain a self employed mortgage in Hull. Some lenders are willing to be a bit more sympathetic towards previous discrepancies on your credit report. Others, not so much.
Your situation is unique to you, it is very unlikely that someone will have the exact same circumstances as you. You could be looking for first time buyer mortgage advice in Hull, ready to take the first step towards being a homeowner.
You might be in a tight spot and need some remortgage advice in Hull, ahead of consolidating some debts (something that definitely requires an expert opinion). When you explain your position to an experienced mortgage broker, they may have dealt with something that is at least similar in the past.
This allows them to personalise your mortgage advice service and guide you along each step. With a little luck and a lot of hard work, your mortgage advisor in Hull will hopefully be able to recommend the most suitable mortgage, at the lowest rate available to you.
Beyond that though, it’s about more than just getting a mortgage. Even if the application itself is pretty simple to run through, our clients rely on our expertise and industry experience for so much more.
We are able to run through how much the applicant is willing to offer on their potential new home. Our trusted team of mortgage advisors in Hull are able recommend other professional services such as solicitors and property surveys.
Another reason why using a mortgage broker in Hull could be preferable, is that we tend to be far more responsive than the lenders might be.
Our hard working team quite regularly work late into the evening, outside of normal hours, giving maximum effort on customer cases to ensure the service is prompt but also effective.
Something that is often overlooked when looking at why customers may prefer a broker, is that people’s day-to-day lives are so much busier. A mortgage might be important, but you may have no free time! A mortgage advisor in Hull will take the weight off your shoulders.
Professional applicants especially see the benefits of using a mortgage broker, as they have clients of their own that they charge out their services to and they appreciate having an expert to do the work for them whilst they keep busy.
Mayhap in the future we will see lenders wanting to take business back from the brokers. In the event of this, we may see a more technological approach from them. The world seems to be more focused on that these days.
That’s great news for customers who are fine with speaking to bots or using automated systems. Even more so when the case is straightforward.
For most of us though, there’s an element of “realness” when speaking to a real person. We are getting that “human touch” that only speak to a mortgage advisor in Hull can provide for you.
Book your free mortgage appointment online now using the “Get Started” button. Time slots are available every day, from early until late, at a time that best suits you (subject to availability).
There are thousands of interest-only mortgages across the nation that are maturing every year and the homeowners who have one of these may be caught off guard when it comes to having to pay off the capital sum that is owed.
In this article, we take a look at what interest-only mortgages are and what can be done when situations like this occur.
Back in the ’80s and ’90s, it was actually really common for residential mortgages to be set up this way. The purpose of these mortgage types, was that you would only pay back (over the course of your term) interest on the amount that you borrowed, with the remaining capital lump sum being paid back once the term ended.
For anyone who had previously taken out an interest-only mortgage, it is likely that you will have been advised to set up a repayment vehicle, perhaps something like a low-cost endowment policy.
The policy would mature over time and was designed with the purpose of helping you to repay the capital balance in full, whilst also giving you sufficient life cover for the duration of your mortgage term. Unfortunately, there are a lot of people who weren’t made aware of the risks attached to this type of product.
One of the risks that cropped up, was that there was no guarantee the policy would actually mature enough to cover the costs of your mortgage debt, which in turn led to many applicants being compensated for them being mis-sold a product.
Nowadays, interest-only mortgages tend to be a popular option for customers who are looking at their options for buy to let Mortgages in Hull. These types of people are landlords who buy properties to earn some extra income.
It is not very common to come across customers who have taken out an interest-only residential mortgage in recent memory, as they are considerably difficult to obtain unless you can prove that you have a very solid strategy for paying back the capital at the end of your term.
For customers who took out an interest-only mortgage at any point in the late ’80s or ’90s and have not switched it to a capital repayment, then you should absolutely look to take action sooner rather than later.
If you happen to be in this sort of position, the chances that your mortgage lender will send you a letter or give you a call, asking how you plan to pay the capital back will be slim.
It is important to always keep open a line of communication with the mortgage lender, remaining honest and open with them. Contrary to the belief of some, a lender truly does not want to take your property into possession and will only do so if they have no other choice.
Instead of letting things get to that point, here are some other things that you could look to do instead;
The retirement mortgage market is an area of the world of homeowners that is currently thriving, largely due to the amount of interest-only mortgages that are reaching the end of their terms, without any concrete plans in place to actually pay back the capital.
There are a lot of retirement products available to customers across the country nowadays, and some providers may even possibly let you service the interest element by way of regular monthly repayments.
Creating this sort of agreement means that when you die, the capital balance that is left to pay, is repaid from the house sale and the surplus can be given out to your family.
Interest-only mortgage are still in existence and can be obtain, though there are limitations as to who can obtain one. For example, you may possibly be a landlord with an extensive property portfolio or have some other investments in place, which you can use to help you repay the balance.
Lenders will now take an in-depth look at your strategy for repaying the loan, analysing a lot more deeply than they would’ve done in the past.
They do this in order to ensure that they are only lending for a property that they are confident won’t default. In addition to this, they will also want a much larger deposit to go down, potentially as much as 50%.
They will also want to future proof any of your plans before going ahead. An example of this would be checking that you have enough equity in your home to potentially downsize to a reasonable property down the line.
As always, our team of dedicated mortgage advisors in Hull, here at Hullmoneyman, are always happy to run through the options that are available to you as a home buyer or existing homeowner in Hull. Book your free mortgage appointment online today and we will see how we are able to help you.
A Debt Management Plan or a DMP is a formal agreement between you and your creditors to help you pay off your debt. The plan usually starts with you declaring how much debt you’re in then your creditors can get a picture of how severe the situation is.
They will then want to know all about your income and your expenditures. This will help them work out your spending habits and see whether there are things to cut back on.
Once they have these details, you will be put on a DMP tailored to you and your finances. To repay your debt, you will receive monthly payments at a reduced and more affordable rate.
In this article, we are going to look at how a DMP can benefit you and your mortgage in Hull.
Believe it or not, being on a DMP can improve your credit. If you have poor credit at the time of taking out a DMP, meeting your monthly payments and slowly paying off your debt can have a positive effect. If you think about it, you’re clearing debt from your name, therefore, with time, it’s only fair that you start to gain points on your credit score.
Having a higher credit score can potentially open you up to better mortgage rates. You will still need to provide a much higher deposit as usual as you’re still in debt.
By working on a DMP and keeping with it, you may be able to avoid a default, unless you’re already associated with one. Once you are issued with one, it will not be removed from your file for 6 years, regardless of whether you’ve paid off the debt.
Having a default that is in your name can have an adverse effect on your credit score. As a Mortgage Broker in Hull, we would highly recommend avoiding a default if it is possible.
If you speak to an expert, such as a Specialist Mortgage Advisor in Hull, you may be able to get a quick DMP together and avoid a default. Every lender will ask lots of questions when seeing a default in your name. Ideally, you don’t want to be in this situation.
If you’ve already been issued with a default, you may be able to incorporate the amount owed into your DMP. The default will still appear on your credit file, which can negatively affect your chances of being accepted by most lenders.
Having a DMP in place can help your sort out your finances and get you back where you need to be financially. Re-evaluating your finances, particularly in the lead up to a mortgage/remortgage application, is always a recommended option. This includes your DMP payments and your current outgoings.
To provide an example for this situation, you could cut back on gambling during the lead-up to your mortgage application to ensure that you’re looking reliable and managing your finances responsibly. Your lender will see it as irresponsible if you’re on a DMP and are going out and spending large chunks of your income on gambling.
In some circumstances, you may not want to take on a DMP and would prefer to incorporate some of your owed debt into your mortgage. Your total mortgage amount will increase, but you’ll be ensuring that your unsecured debt becomes secured against an asset.
Debt consolidation is a specialist subject and you may need assistance from a Mortgage Advisor in Hull during the process. We would never recommend that you consolidate your debt into your mortgage without conversing with a professional.
You can book a free mortgage appointment with an expert online. Follow our Get Started process to choose a date and time best suited to you.
Dealing with one mortgage can be difficult enough, never mind two!
There are many different reasons why someone may want more than one mortgage, some are more common than others. As a Mortgage Broker in Hull, we see that the most popular scenario is when a landlord wants to take out another buy to let mortgage in Hull.
Whether you’re in this situation or something similar, our Mortgage Advisors in Hull will do our very best to help you through your second mortgage journey.
Lenders will look at your current mortgage affordability, income and expenditures before accepting your second mortgage offer. They will need to know that you can afford another mortgage.
They may also require you to put down a higher deposit on this mortgage, this could be anywhere between 15-40%.
These are the most common mortgage situations that our team come across. During our years of working within the mortgage industry, we’ve come across all of these situations and managed to help many customers through them. Our team of Mortgage Advisors in Hull have in-depth knowledge and experience with Buy to Let mortgage criteria.
A Buy to Let is a property that you rent out and do not live in. They’re usually bought by current or aspiring landlords.
Buy to Lets will likely require you to put down a higher deposit amount. For any Buy to Let, you’re going to have to put down an amount between 25-40% loan to value rate.
Buy to Let mortgage repayments work the exact same way as your current mortgage. You will be issued with monthly bills and interest rates will apply.
If you’re taking out a second mortgage for a Buy to Let property, it may benefit you to speak with a professional Buy to Let expert. Our advisors have been working with local landlords in Hull for many years now, building up strong relationships with them and helping them with their remortgages on their property’s.
Let to Buy works in the same way as a Buy to Let, however, you are Moving Home in Hull to a property that you’re purchasing and renting out your current one. Deposits and payments will remain the same as a Buy to Let as you’re still taking out two mortgages.
Our Buy to Let Mortgage Advisors in Hull are also experienced in working with Let to Buys. Book your free mortgage appointment with one of them and find out whether you are eligibility.
This scenario is becoming more and more popular, particularly in recent years. Parents are becoming aware of the struggle to get onto the property and the costs of a mortgage.
With the constant rise of inflation and property prices, First Time Buyers in Hull are needing a helping hand to move home. Sometimes people require just a little bit more than a gifted deposit.
Applicants receiving help from grandparents and parents is not unusual. It’s likely that they’ve already paid off their mortgage and can afford to offer their help. The family member offering the help will have to pass lenders affordability checks to make sure that they can afford to pay for their child’s or grandchild’s mortgage.
When it comes to taking equity out of your home to raise funds, people normally use the money for home improvements, debt consolidation, to buy something such as a car or to fund a wedding etc. Another option that people sometimes choose is to release equity and take out another mortgage.
This situation could also be known as a further advance. A further advance is when you borrow more from your current lender to fund something like home improvements or a second mortgage.
The amount you can borrow would be entirely dependent on the amount of equity in your property and you would still need to prove that you can afford the additional mortgage amount on top of your existing one.
The amount that you can borrow from them will depend on the amount of equity in your property. Also, you will still need to prove that you can afford a second mortgage.
Often, it can be difficult to get your name removed from a mortgage, therefore, sometimes people leave their name on. Even though you’re still named on a mortgage, it can be possible to take out another one in your own name.
When this situation comes about, it’s usually because of a recent divorce or separation. Unfortunately, the financial complications must be addressed sooner rather than later in a scenario like this.
When you want to take out a second mortgage in your sole name, it may be a little harder to get accepted. Your lender knows that there’s just one applicant and you’re still linked with another mortgage. Even if you’ve made agreements with your ex-partner that you’re not going to contribute to their mortgage payments, they will still see it as a potential liability.
This situation can get very complicated and stressful, therefore, we recommend that you speak with a specialist mortgage advisor in Hull. Our advisors are very experienced in dealing with divorce and separation Mortgage Advice in Hull. For help and advice, book your free mortgage appointment online and speak with an expert.
Remortgaging in Hull could be the next step for you if you have decided to stay in your current property and not move house. It is a way for you to stay in your current property with more favorable interest rates and works by being transferred from your existing deal to a better deal. As an experienced remortgage broker in Hull, this is something our team of mortgage advisors can help with.
The banks count on their customers not being as knowledgeable and shopping around for a better deal. Often, you will find there are cheaper offers for you elsewhere. Ways to find them could be speaking with a knowledgeable mortgage advisor in Hull who can assist with comparing deals or you can seek these out yourself through a price comparison site. From this, you will find there is probably a deal appropriate for you. However, price comparison sites mainly look for your best deal on an interest basis.
Providing that you’ve been on your current mortgage deal for some time, there is a possibility that you could be on a low Bank of England tracker deal. You could even be paying less than 1% so, it may be best for you to stay with that mortgage deal. This could become an issue if the base rate eventually rises as well as your payments.
Yes, there is a chance providing that you pass the affordability checks and assuming there is a good amount of equity in your property. From this, you may be able to increase your mortgage to fund future home improvements.
It can be a very wise option because it gives you an updated home and the chance to increase the value of your property if done carefully and with the right help. We find this can help customers in the process of updating their kitchen, converting a loft, or creating a home office.
As well as home improvements, you can borrow extra funds for most legal purposes, this could include:
Adding debt to your mortgage might not be the best idea. If this happens, you will end up paying back more interest overall through extending the term of your debts to make the payments lower.
Another risk of this is that you are taking debt, which is not secured and, securing it on your home. It could create the potential risk of having your home repossessed. Something that will likely be a problem would be consolidating debts that you can afford or credit cards that are 0% interest.
It’s important to know that you need to speak to a qualified mortgage advisor prior to securing any debts against your home.
An option you could take is to reduce your monthly outgoings to avoid missed payments. By doing this, you are decreasing the risk of your credit rating being in a bad state.
A “Product Transfer” or “Retention” product, is one option a lender will offer. This method allows the lender to provide you with a new deal to stay with them. You would need to contact your provider directly to see what is available to you, however, this option isn’t guaranteed.
In some cases, lenders will allow you to make a product switch online without providing further information or advice.
Staying with the same provider and switch products might be an easier option, however, putting a new application to a different lender may save you a lot of money.
You will find that many banks would offer favourable rates to new borrowers over existing ones. They will be a time where lenders will take a more ethical approach that could have a positive change on customer loyalty.
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Hullmoneyman.com & Hullmoneyman are trading styles of UK Moneyman Limited, which is authorised and regulated by the Financial Conduct Authority.
UK Moneyman Limited is Registered in England, No. 6789312 | Registered Address: 9 Gallows Lane, Beverley, United Kingdom HU17 7FJ.
Authorised and Regulated by the Financial Conduct Authority.
We are entered on the Financial Services Register No. 627742 at www.register.fca.org.uk.
© Hullmoneyman 2025.
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Hullmoneyman.com & Hullmoneyman are trading styles of UK Moneyman Limited, which is authorised and regulated by the Financial Conduct Authority.
UK Moneyman Limited is Registered in England, No. 6789312 | Registered Address: 9 Gallows Lane, Beverley, United Kingdom HU17 7FJ.
Authorised and Regulated by the Financial Conduct Authority.
We are entered on the Financial Services Register No. 627742 at www.register.fca.org.uk.
© Hullmoneyman 2025.
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