The best mortgage on the market isn’t always the product with the lowest rate. If it comes with legal assist (shared solicitors that significantly reduces costs) and no initial setup fees, a higher rate could actually be cheaper in terms of total cost.
It’s something to look out for, particularly when looking for an expat mortgage – you can’t compare them like-for-like on a comparison website as you can with a standard mortgage.
This is where a broker can help.
The Client
This client had moved to the US a few years ago, and had a ‘consent to let’ agreement with their current mortgage provider – Nationwide – on their old home in the UK.
Their current fixed rate was ending very soon, and they needed to remortgage onto a competitive buy to let before paying anything at a higher SVR (Standard Variable Rate).
They needed to raise £190k against the £293k property.
The client was also on maternity leave and was unsure about how their income would be treated for affordability, and the rent from their property was also contracted to increase in the coming months.
However, the higher rental rate hadn’t actually been paid yet, but they needed it to be factored into the calculations for affordability.
How We Helped
We set to work immediately to find the best product on the market for this client. It was a case of working quickly and smartly, with our adviser even taking some calls on the weekend to get it over the line.
The best product available was a low-rate buy to let, suitable for expats, with no product fees and legal assist that would keep costs down significantly.
We ensured our clients’ full salary was eligible for the mortgage, as well as the pending higher rental rate, meaning the loan to income ration (LTI) was stronger, and making our clients eligible for the best rate possible.
Client Testimonial
Louis has been brilliant from moment one. Very personable, kind, knowledgeable and thorough.
Working across different time zones was not a problem at all and Louis was always ready to help guide me through any jargon that I had to decipher – he knows what he is talking about!
