Interest Rates

What About Interest Rates?

As well as deciding whether a repayment or interest only mortgage is right for you, you also have to select the type of interest rate deal you want.

Fixed Rate Mortgage

Your payments are fixed for a certain period, normally between two years and five years but sometimes as long as ten years.

At the end of the deal period, the lender usually charges you its standard variable rate, where payments can go up or down at the lender’s discretion.

Tracker Mortgage

The interest rate is set at a specific amount above the Bank of England base rate and so always tracks changes in that rate.

Standard Variable Rate Mortgage

Your payments go up and down at the lender’s discretion which are normally driven by changes in the Bank of England’s interest rate.

Discounted Mortgage

Discounted mortgages offer a discount off a specific interest rate – most commonly the lender’s Standard Variable Rate.

The discount is normally for an introductory period  of 2, 3 or 5 years.

Capped Mortgages

Capped mortgages are a type of variable rate mortgage but with a cap on the interest rate, which it will not exceed. The terms of a capped mortgage are normally between 2 and 5 year.

If you need help and advice deciding what kind of mortgage will be right for you, call us today on 01428 729849.

For mortgages, we can be paid by commission, a fee, or a combination of both. Our typical fee in connection with a property purchase is £495. Our typical fee in connection with a remortgage is £395.

A mortgage is a loan secured against your home. Your home is at risk if you do not keep up repayments on your mortgage or any other debt secured on it.