A mortgage is simply a financial loan to enable you to purchase a property, with the key difference from other loans that this one is secured against your home.

With your home as security, the lender is usually able to offer you a lower interest rate than you find with other types of loan.

Whenever the property is sold, the mortgage lender has what is called a ‘first charge’ – which means that any outstanding mortgage loan must be paid back first.

And remember, because your home loan is secured against your property, if you don’t keep up your monthly mortgage payments, your lender may be able to sell your home to recover any money you owe.

Remortgaging

By moving your mortgage to a new lender you may be able to take advantage of a better mortgage rate. Some lenders offer to pay the legal costs and valuation fees associated with remortgaging.

The process for remortgaging your home can take between approximately eight and twelve weeks as the new lender will want to make similar checks to those that the original lender carried out when you first bought your home.

Remember that you may have to pay an early repayment charge to your existing lender if you remortgage, so you will need to check the terms of your mortgage carefully and confirm the arrangements with your current lender.

We do not charge for our advice. Instead, we simply charge a fee for processing your mortgage application. Our typical fee is £299, however the actual fee will depend on your circumstances.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Lists of links to other pages

• Ways to Repay Your Mortgage

  There are two basic styles of mortgage – ‘Repayment’ and ‘Interest Only’.

  

• How much can I borrow

  How much you can borrow depends on several factors. You should find out how much you can borrow before making an offer on a property.

  

• A Guide to Mortgage Types

  We understand that buying a home is a big step and one of the biggest financial decisions you’ll make in your life, and can seem a daunting and complicated process. Through this online guide, we hope we can help you find your way through the maze.

  

• The Cost of Buying your Home

  Just what costs are involved when moving home?