Chris Collins from CC Mortgages of Portishead explains how now could be the perfect time to review your mortgage and related insurances
With the cost of living crisis we find ourselves in, alongside rising inflation which is driving interest rates up, it’s a combination that is having an affect on mortgage borrowers. Interest rates for a typical like-for-like re-mortgage are higher than they typically were two years ago, which means that many homeowners will see their mortgage payments increasing as a result of remortgaging. However, there are still some very good mortgage deals available from lenders across the market.
Many homeowners are looking to fix their mortgage rate for a minimum of five years, providing peace of mind as a result of knowing exactly what your monthly mortgage repayments will be for this period, regardless of any future further interest rate rises. This is providing a very popular option with our clients and we have recently helped many homeowners secure a fixed rate for five or even ten years, which will completely mitigates any future interest rate rise from the Bank of England in the autumn, that have been widely predicted.
Many of our clients are taking advantage of the fact that as mortgage borrowers, they can secure a new mortgage deal within six months of their current fixed rate coming to an end. So if your mortgage fixed rate is due to be coming to an end in 2023, you should be looking to secure a new mortgage deal now.
Alongside securing the best mortgage deal, it’s also advisable to look at other services that will be able to help families with the current economic climate. For example, we recently helped a young family by reviewing the financial protection they currently have in place when it became evident that they were paying a high monthly cost for their family life insurance. After reviewing this for them, we discovered that the policy they had featured ‘annually escalating premiums’, meaning that their life insurance price was rising each year. In addition, as the policy was taken out many years ago and as their current circumstances had changed as a result of moving house, the cover amount was no longer relevant.
So we completed a free financial review for the clients and sourced a new policy for them that was relevant to their current circumstances as well as being cheaper. These clients also took advantage of the free Will Writing service that CC Mortgages provide, something that is often on a family’s to do list without necessarily being dealt with.
To speak to Chris about the services offered by CC Mortgages, give him a call on 07855 954667, email email hidden; JavaScript is required or visit www.cc-mortgages.co.uk