Is This A Bad Time To Be Shopping For A Self Certification Remortgage?
There is a lot of hysteria right now concerning mortgages in the UK – every institution and lender is releasing dire statistics talking of falling house prices, rocketing mortgage rates and lenders who will not lend to anybody. So it’s natural to be worried if you are thinking of shopping for a Self Certification Remortgage – when you last took out a mortgage rates were low, house prices were high and everybody was happy. So is it a bad time to be shopping for a Self Certification Remortgage? Are you going to have to shell out a lot more this time?
Because of all the risky lending that went on in the USA over the last few years, coupled with the world lending institutions who invested in that risky lending, things are not good for those looking for a loan – especially riskier self cert lenders looking for a Self Certification Remortgage. Lenders lost billions when it was realised that many Americans could not afford their mortgages, so they now cannot afford to lend as much or as freely as they once did. So if you want a Self Certification Remortgage you will have to be ready to prove to the lender that you are a sure thing.
Just because there is less lending going on than there was a year ago, it doesn’t mean there is no hope. House prices have been rising by double figures for several years, and mortgage rates have hit record lows – this ‘crunch’ is merely an actualisation – things are calming down, not falling down. There are still plenty of Self Certification Remortgage lenders out there who are willing to offer you a mortgage. Yes, it will be slightly higher than it was two or three years ago, but we Brits were lucky to get Self Certification Remortgage rates below 5% for as long as we did – the party is over and it’s time to be a little more realistic.
So be ready to be shelling out a little more each month after your Self Certification Remortgage. Get your finances in order and see where you could cut costs – a Self Certification Remortgage could be a great tool for some debt consolidation, so you could save hundreds by moving your debts onto your mortgage – no matter if Self Certification Remortgage rates have risen slightly, they will still be lower than a personal loan or credit card rate. Also, although the rate is higher, your house may have risen in worth considerably over the last few years, so expect to be pleasantly surprised with your surveyor’s estimations.
The main thing to remember when taking out a Self Certification Remortgage is not to worry – the rates you can expect won’t cost you the earth, and with some good advice from a broker and a bit of sensible planning there is no reason why you cannot live comfortably with a few extra points on your mortgage. Being a self cert borrower means you have the freedom to take a bigger and better mortgage than a regular borrower – so ignore the paranoia of the nation and get ready to shop carefully for a great Self Certification Remortgage.
November 28 2008 10:52 am | Finance