Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage.
Offset mortgages have been one of the market's leading growth sectors in the last few years. With an offset mortgage, any savings you have can be used to reduce your mortgage interest costs: the more savings you have, the less interest you pay on your mortgage.
The offset mortgage is often highly appropriate to Chesterton clients as the benefits of this type of loan are significantly greater at higher loan levels.
If you have reasonably large liquid savings, or if you are a self employed borrower and put funds aside regularly for tax, it may well be worth getting an offset mortgage.
For example, if your mortgage is £400,000, and you offset savings of £70,000, you only pay interest on the difference which is £330,000. Your savings are not permanently tied into the offset mortgage, you can withdraw your savings at any time.
Like other mortgages there are a wide variety of products available and you need to consider whether it’s worth your while paying the higher interest rate that is normally charged on these loans.
That’s exactly where Chesterton Private Finance can help – we know the type of customer that will benefit from an offset mortgage and can select the offset product to suit.
Call us FREE on 0800 138 5440 or fill in this form and one of our expert mortgage consultants will call you.