Some Chat About Remortgages And Mortgages.
Mortgages and remortgages are two forms of what are known as home loans.
These two home loans are secured loans and what they are secured against is the equity on a homeowners property, and the maximum sum of remortgage or mortgage available is based on the amount of equity.
For those unfamiliar with the term equity this is the amount left when the mortgage secured on the property is deducted from the value of the property itself.
If a property is worth say 320,000 and the mortgage balance is 120,000, the equity would be 200,000.
For both remortgages and mortgages lenders are no longer willing to grant 100% LTV products.
Mortgages and remortgages at even 95% LTV are thin on the ground and are only available from a handful of mortgage lenders.The availability of 90% LTV mortgages and remortgages is not common at present.
The situation in the mortgage and remortgage market place is a very different place now from it was at the end of 2006 up to the beginning of 2007 when 100% LTV remortgages and mortgages were readily available; The Northern Rock Building Society even had a mortgage plan whereby a borrower could borrow up to 25% more than the value of the property. However what happened to that society is history.
Remortgages and mortgages have low rates of interest at this moment in time and tracker remortgages and mortgages are at an all time low.
The tracker product tracks the Bank Of England which is at an all time low of half of one percent and as the the tracker mortgage is based on this their rates are amazingly good.
At present tracker deals are available from 1.98% for those with a maximum 60% LTV and from 1.99% for those with a maximum 70% LTV. Therefore in spite of an aura of gloom and doom in the financial sector mortgage products are still healthy.
Fixed rates are available from round the 3% mark, and as such although equity margins have tightened there are still excellent remortgage and mortgage deals to be had.
For more information visit remortgages
categories: remortgage,remortgages,mortgage,mortgages,secured loan,secured loans,homeowner loan
No comments yet.
Leave a comment
