Interview with Brad
We sat down with one of our mortgage experts, Brad to pick his brain on the mortgage market.
Brad has been a mortgage adviser for over six years and has processed over £20 million worth of mortgages, so he knows a thing or two about getting the right mortgage.
What are the most common questions you get asked as a mortgage adviser?
The most common questions I get asked by people looking to remortgage are ‘Why does my own lender charge a product fee? I’m already with them?’ and ‘Does my property value or mortgage term affect the available interest rate’
Has rising rates over the last 18 months changed the way people remortgage?
Yes, I actually think there is more urgency and commitment from people now, due to the uncertainty of the rates. I have found with my clients, that they want to act as soon as possible and as quickly as they can, compared to when rates were a lot lower and therefore not as much urgency to act.
What current trends are you seeing in the mortgage market?
I’ve seen the common trend that people are going for shorter fixed rates, due to the anticipation of rates reducing. But be aware that any product fees would impact the amount you will be saving, compared to a 5-year rate if you are paying these every 2 years.
Right now, are more people sticking with their lender or moving to a new lender?
I have noticed that the majority of lender’s retention rates are very competitive with what is available from alternative lenders. This means that in a lot of cases, clients are staying with their current lenders instead of moving
What’s your top tip to someone about to remortgage?
As well as speaking to an adviser to ensure you’re not getting misinformation, you should understand that different lenders work to their own set of requirements and qualifying criteria. The benefit of using an adviser is that we can ensure we are recommending the correct one for your circumstances
How long does a usual remortgage take? Is it quicker with Sprive?
Naturally, a product transfer is a lot quicker than remortgaging with a new lender, and can often take as little as 48 hours to complete. If you have a straightforward application that meets lenders' criteria, income and good loan to value there is every opportunity that a full application can be just as quick.
What is the most common mistake people do when getting a mortgage?
Not getting a rate secured early enough. I have had a few situations where clients have viewed their rates with their current lender but not physically chosen a new rate in principle, only to find that the particular rate is no longer available.
Speak to an adviser who can advise you on the benefits of getting a rate in place as early as possible to safeguard against any changes.
What's the most common misinformation people think about mortgages / remortgages?
The most common misinformation amongst mortgage holders is that their existing lender won't charge any product fees, as they are already with them. However, 99% of the time, lenders offer 2 rates, one with a fee and the other without, and based on your circumstances and the set-up of your mortgage it is our job to establish which option is better.
