A few tips about your mortgage and making the most of current low rates

  1. Mortgage rates are currently sitting at their lowest ever. If you're looking to buy a property in the near future, you could, of course, listen to those who speculate that rates may drop lower still and hang on, hoping for an even lower rate in the coming months. But is it a risk worth taking? Or should you fix your rate right now?
  2. You could reap the benefits of these low rates by choosing a five-year fixed rate and locking in today’s great prices. However, if you have any thoughts at all that you may be moving again before the end of that five-year period, you must check that you won’t be hit with early repayment fees.
  3. If you’re feeling a bit flush, had a large bonus at work or won a few bob on the lottery, you could decide to make some overpayments on your mortgage. After all, you may as well make the most of having a low rate of interest to reduce your debt. Financial institutions will usually allow borrowers to pay off up to an extra 10% of their outstanding loan amount each year. So if you have any spare cash that you can put into your mortgage repayment, it’s always a good idea as it will both shorten the time it will take you to pay off your mortgage as well as bring down the amount you need to pay back – especially when rates are this low.
  4. And of course, don't forget to consult us first for tailor-made professional advice pertaining to your personal circumstances. Call 0131 510 7071 or visit http://www.caileanmortgages.com.