Interest only mortgages. It is not a condition but the borrower is expected to have some investment or other means of paying the outstanding loan when the mortgage term ends. If the performance of the investment depends on the stock market then the following can occur.
If the stock market is buoyant, then borrowers stand to benefit, which isn't the case with anyone who has taken out a repayment mortgage. However, if the economy is in decline then there's a very real chance that the investment (such as an Endowment or Pension Policy) won't meet the final mortgage settlement.
Advantages with an interest only mortgage are:
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You can choose from a variety of investment vehicles, of which some can have tax advantages.
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Should you move or re-mortgage, your investments can generally be reallocated to the new mortgage.
Disadvantages with an interest only mortgage are:
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Unlike a repayment mortgage, the amount of debt does not reduce over time. (You just pay the interest on the loan. (Mortgage)
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There is No guarantee that your chosen investments will grow sufficiently to repay your loan.
But the wrong interest only mortgage can cost you more £££’s than it should and independent impartial advice is essential.
UEG Finance Services work closely with qualified independent mortgage advisors that can be trusted to give you that independent impartial advice.
Why opt for an Interest Only Mortgage via UEG Finance Services?
There are lots of great deals on Interest Only mortgages in the UK and UEG Finance Services have access to them ALL since they have:
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Access to ‘all’ Interest Only mortgages in the UK
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Every known special offer on Interest Only mortgages in the UK
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Every latest deal available on Interest Only mortgages in the UK
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Plus exclusive deals through the many mortgage clubs they subscribe to
Every month we, here at UEG Finance Services help hundreds of people, just like you, find their perfect mortgage. Find out why so many people put their trust in us.
