nepalimortgages

The cost of moving home

office@speek.co.uk (James Blakeway) — Mon, 12 Jun 2023 11:21:27 GMT

The cost of moving home

Buying a home comes with extra costs and fees you need to be aware of – from securing your mortgage to booking the removal van.

Whether you’re a first-time buyer, downsizing or moving to your dream family home, it’s an exciting – and busy – time. It also comes with costs that could take you by surprise, so here’s a look at the ones you’re likely to come across and how we can help you through the journey.

Advice fee

We can help when you’re applying for your mortgage in principle, putting you in a strong position once an offer is accepted. The benefit of using a broker is that they have the expertise to ensure you’ve covered the required checks and paperwork related to buying your home and getting a mortgage.We will let you know at the start of the process about our fees.

Booking and arrangement fees

These fees go to your mortgage lender. The booking/application fee is usually £100 to £300, but the arrangement fee can be much higher, anything from £0 to over £2,000 or a percentage of the loan. We can help you decide whether it’s better in the long term to opt for a mortgage with a slightly higher interest rate and lower arrangement fee, rather than a high arrangement fee and lower interest rate.

Valuation fee

Your mortgage lender will need to value the property themselves to make sure it’s not over- or under-priced. The valuation will also confirm the amount they’re willing to lend to you. Some lenders don’t charge a valuation fee, but if they do, it can cost upwards of £250 – depending on the size of the property and its value.

Surveyor’s fees

It’s important to know that the valuation fee doesn’t look at the structure of your new home, or any issues to do with maintenance and repair. We will be able to arrange an expert to conduct a thorough structural survey of the property. This will help you decide whether to negotiate the terms of the sale with the seller and their agent – before you exchange contracts. Survey fees can range from around £300 to over £1,500 - all depending on the level of service required and the size of the property.

Conveyancing costs

Buying a property involves lots of paperwork, and the legal side of things (known as conveyancing) covers the fees to solicitors or licensed conveyancers to carry out the work (‘disbursements’) as well as their own specific fees. Conveyancing can cost from £850 to £2,000, and disbursements, for example local authority searches which can cost around £250 to £450.

Electronic transfer fees

On the day you complete the sale and exchange contracts, a fee of around £50 will be added to your costs to cover the transfer of funds from your lender to the solicitor.

Insurance

Your lender will need to see that your new home is insured with buildings insurance. In 2022, the average cost of buildings and contents insurance was between £146 and £152 a year. We will help you find the best insurance plan to cover your new home and calculate how much contents coverage you will need as part of your insurance. At the same time we can review your personal coverage to check that you have enough life insurance to cover the mortgage should anything happen.

Removals

Once you’ve got the keys to your new home, it’s time to move in! Removal firms can charge anything upwards of £300, depending on how much you’re moving and how far it’s going.

We will help take the stress out of home buying and can find you the competitive deals and savings available.

Don’t forget the stamp duty

As a buyer you will have to pay a stamp duty land tax, this depends on whether you’re a first-time buyer, where you live, and where the property is located within the UK. First-time buyers will pay no stamp duty land tax on properties up to £425,000.

Key takeaways:

Buying a home comes with extra costs and fees you need to be aware of – from securing your mortgage to booking the removal van

There are additional costs you need to be aware of when buying your first home.

Consider additional costs such as advice fees, booking and arrangement fees, valuation fees, surveyor’s fees, conveyancing fees, electronic transfer fees, insurance, removals and stamp duty.

Always remembers additional fees when buying a home, save that little bit extra to account for them.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

Approved by The Openwork Partnership on 17/03/2023.

Tips to finding your first home

office@speek.co.uk (James Blakeway) — Fri, 07 Apr 2023 10:45:04 GMT

Tips to finding your first home

Searching for your first home can be an overwhelming experience, but when it’s the biggest purchase of your life, you need to ensure that it’s right for you. There are so many things to consider, so to help you with one of the biggest decisions in your life, we have drawn up some helpful tips and guidance when finding your first home.

Speak to a mortgage adviser

We can give you an idea of how much you will be paying monthly, taking various fees and rates into account. We will also be able to tell you whether your budget is enough to get you the property you want and what deal we believe is right in light of your needs.

Start with an open mind

There is the danger of becoming too fixated on certain locations or certain properties. It’s important to be open when searching for your first home, ensuring that you’re considering all locations and types of houses. Often buyers become stressed because they have narrowed their search down too far too early.

Talk to your local estate agent

It’s worth booking in a conversation with your local estate agents as after all, they are the experts. They will be able to give you an idea of properties available in the area, upcoming areas to search in and whether your budget is realistic to where and what you’re looking for.

Check out the location before putting an offer in

You don’t want to commit to a house before even knowing what the location or neighbourhood is like. If you fail to do this, you could be stuck…for a long time! It’s a good idea to identify three to four neighbourhoods you’d like to live in based on commute time, schools, recreation, crime, and price.

Use property finding websites

With the world evolving, property search websites have become the most popular way in finding properties for sale and to rent. They are easy to use, open all hours, provide you accurate results and you don’t even have to move from the sofa! Some of the many include Rightmove, Zoopla and OnTheMarket.

Approved by The Openwork Partnership on 17/03/2023 .

Key Takeaways

It’s important to consider everything when making one of the biggest purchases of your life.
Buying your first home is an overwhelming experience, so making sure you’re open to everything is key.
When finding your first home it’s important to consider things like the neighbourhood, whether it’s a starter house or your forever home, price and affordability.
Estate agents are great for finding your first home, they will give you insight into where to buy, upcoming areas to buy into and if you can afford certain areas.
Property finding sites are great for finding your first home, they are open all hours, are easy to use and you don’t have to move from the sofa!
We can help make the process of finding your first mortgage as smooth as possible.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

Base Rate Rise to 4.25%

office@speek.co.uk (James Blakeway) — Thu, 23 Mar 2023 18:10:01 GMT

Mortgages

The Bank of England has raised the Base Rate 0.25% to 4.25%. Did you know more than 1.4 million households coming to the end of a fixed rate mortgage in the UK are facing interest rate rises when they remortgage in 2023?

. If you have a fixed rate mortgage, your monthly payments won't be affected right now

If you have a tracker mortgage linked to the Base Rate, you will already have seen an increase to your monthly payments and are likely to see further rises.

If you have a variable rate mortgage, you may have seen an increase to your monthly payments. Your lender will be in contact explaining the new rate and what you can expect to pay.

The rising Base Rate enables annuity providers to offer strong guaranteed incomes. The rise to 4.25% can be good news as the income you receive from an annuity can be fixed on the day you purchase.

The Base Rate rise is good news for savers but high street banks are the least likely to pass on the increase

Inflation is still out-pacing most interest rates on the high street even with the Bank of England raising Base Rates

Investments

With news of record public borrowing The Bank of England has once again chosen to raise the Base Rates, this time by 0.25% to 4.25%

The Bank of England has opted for a 0.25% Base Rate rise

In changing times investors should keep a cool head and a well-diversified portfolio.

Diversification can help you through market uncertainty that may emerge

Inflation increased to 10.4% in February from 10.1% in January – signs that the inflation battle is not over yet

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

Home Insurance Explained

office@speek.co.uk (James Blakeway) — Tue, 21 Mar 2023 17:34:52 GMT

Let’s start at the beginning - what exactly is home insurance?

Home insurance financially protects your home against damage or theft but is typically split into two parts – buildings and contents.

Buildings insurance – this covers the building itself, including walls, floors, doors, windows and the roof. It also covers permanent fixtures such as baths, toilets, fitted kitchens and even wallpaper.

Contents insurance – This typically covers anything that can be taken with you if you move e.g. kitchen appliances, furniture and valuables.

Not all home insurance is equal

As Alex and Megan discovered to their cost, not all home insurance is equal. Although tempting to simply go with the cheapest option, it’s always best to check the details of any policy you’re considering seeing exactly what’s included. For example, some buildings insurance covers garages, greenhouses and garden sheds but some policies don’t.

It's also a good idea to check for exclusions. You may find some insurers won’t pay out for anything considered to be the result of general wear and tear or damage that happens over time, such as damp or rot.

Meanwhile, contents insurance generally has a single-item limit, meaning high-value possessions may need to be named separately. You may also have to pay extra to cover belongings when they are taken outside your home.

Add Ons

There are also certain add ons that are worth thinking about to provide a way to get cover without paying for a more expensive policy with features you may not need. These include:

Accidental damage cover – This provides cover for accidents that occur around your home.
Home emergency cover – This protects your home against emergency call outs or repairs like a burst water pipe.
Personal possessions – This covers items that are used away from home such as handbags and mobile phones.
Legal expenses – This covers the cost of legal proceedings if you need to take action or defend a claim.

Do you really need home insurance?

Homeowners – although buildings insurance isn’t a legal requirement, most mortgage lenders insist on it. No one is going to force you to buy contents insurance but it can provide valuable peace of mind and combining it with your buildings insurance may save you money.

Renters – you don’t need to worry about buildings insurance – this is your landlord’s responsibility. However, contents insurance may be a sensible idea.

Approved by The Openwork Partnership on 25/01/2023.

Key takeaways:

What’s covered by home insurance varies from policy to policy, so you should check what’s included before making a purchase.
Check the terms and conditions for any exclusions to make sure you’re getting the cover you need.
Read reviews before choosing an insurance provider – good customer service can be just as important as cost.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

Why your mortgage term matters

office@speek.co.uk (James Blakeway) — Tue, 07 Mar 2023 09:47:43 GMT

Why your mortgage term matters

With increases in the cost of living impacting on many household budgets, the cost of your monthly mortgage payment continues to be important.

On a capital repayment mortgage, the quicker you pay off your balance, the bigger your monthly payments will be. By having a longer term, you may benefit from a lower monthly payment, but you will also pay more interest.

Whether you’re taking out a new mortgage to buy your first home or have had a mortgage for several years and want to remortgage, it’s important to consider how soon you want to be ‘mortgage free’. You should weigh this up against a mortgage term that makes your monthly repayments affordable.

We can help guide you through all your mortgage options including advice on the term of your mortgage.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE

Approved by The Openwork Partnership on 30/01/2023 .

10 ways to cut your carbon footprint and reduce your energy bills

office@speek.co.uk (James Blakeway) — Tue, 24 Jan 2023 13:52:13 GMT

10 ways to cut your carbon footprint and reduce your energy bills

Reducing your energy consumption can be a great way to cut your carbon footprint, lessening your personal impact on the environment and potentially helping to limit the devastating effects of climate change.

As living costs and the price of energy are soaring, taking action to lessen your usage can also be an effective tool to save money on your bills.

1 in 8 UK consumers think they’re already doing enough

Interestingly, when compared globally, the UK has the highest proportion of consumers – 17% – who think they already do enough to prevent climate change, according to a MarketScreener report.

However, by better understanding your consumption habits, you might realise there’s more you can do.

According to the report, Jaap Ham, associate professor at the Eindhoven University of Technology, argues that our mindset is the biggest problem to tackle when trying to take action to curb energy consumption.

Echoing this, Schneider Electric’s vice-president of home and distribution, Nico van der Merwe, says that “it is encouraging to see the public recognise that real change starts at home”. He puts emphasis on the use of smart tools to help consumers understand their own usage, allowing you to take targeted action from there.

With 8 in 10 UK consumers believing that climate change will lead to higher energy bills, conditioning yourself to make the most of your energy consumption could kill two birds with one stone – saving money and the planet.

Here are 10 useful ways to reduce your carbon footprint while saving on your energy bills.

1. Understand your carbon footprint

A useful first step in reducing your carbon footprint is to understand it.

Visualising where you’re being excessive with your energy consumption can often be the wake-up call that people need to shock them into action. Online calculators are a great way to find this information and help you track your energy habits.

For instance, seeing how much energy you use through your dishwasher may inspire you to pack loads more tightly, making better use of your appliances.

Carbon footprint calculators are available from organisations such as WWF, the Carbon Trust, and the UN among others.

2. Switch to renewables

Next, you could consider switching to renewable sources of energy in your home.

Switching to a supplier that generates energy from sustainable sources can be a good way to reduce bills as well as reassuring yourself that the energy you’re using is “clean”.

As well as this, you could generate your own renewable energy by installing solar panels on your home. While this upfront cost can be expensive, this can offset your energy bill by using less of your supplier’s energy and generating your own from the power of the sun.

3. Use less hot water

Limiting how much hot water you use at home is another useful way to control your bills while lending the environment a helping hand.

Keeping tabs on how long you take in the shower, monitoring the number of baths you have, or being conservative with the hot tap are all examples of ways you can reduce your energy use.

Heating water is an expensive process as well as an energy-intensive one, so limiting how much you’re using could help to offset your bills.

4. Turn off idle appliances and chargers at the plug

TVs, chargers, and any other appliance plugged into the mains could be soaking up your precious energy. When switched on, chargers will use electricity even if nothing is connected.

So, getting into the habit of checking plugs throughout the day, or before you leave the house, can help you to waste less money on unused electricity while reducing your carbon footprint.

As well as this, TVs, radios, and consoles all use energy when on standby, so make sure you fully turn them off!

5. Consider an electric vehicle

Swapping your petrol or diesel car for a battery-powered, electric vehicle can reduce your costs and can also have environmental benefits.

Emissions you personally produce while driving can be drastically reduced by going electric instead of using fuel. As well as this, powering your vehicle with electricity is often cheaper over time compared to regularly filling a petrol or diesel tank.

Increasingly, you can even come across free charging points that are available for public use – according to Zap-Map, supermarkets such as Aldi, Lidl, Sainsbury’s, and Tesco are great places to find them.

6. Buy energy-efficient appliances

Kitting out your home with low-consumption appliances is a simple way to lower your energy consumption and, as a result, your bills.

Good examples of these include bulbs, showerheads, kettles, plugs, and hoovers to name a few.

The compromise in performance is generally negligible and well worth the switch. For example, a low-energy bulb may take a few extra minutes to reach full brightness but save a worthwhile amount of energy over time.

7. Use “smart” home appliances

Making use of smart devices that can remotely alter your home’s use of energy offers an easy way to reduce the size of your bills along with your carbon footprint.

According to research reported by MarketScreener, smart lighting and thermostat devices are now among the top three most purchased smart devices, proving how people are waking up to their utility.

Installing these in your home allows you to easily monitor your consumption and readily adjust how your home is using energy. Even better, you can change your home’s settings remotely so you can stick to your low-energy habits even if you leave the lights on after you go out.

8. Replace or service kitchen appliances

If you have any older models of kitchen appliances, it could be worth replacing them with newer, energy-efficient versions.

Culprits of high energy use could include your dishwasher, fridge, freezer, tumble dryer, or washing machine. Thankfully, technological advances mean newer appliances can complete tasks to the same standards while using less energy.

Through constant use over many years, these marginal savings can add up to be well worth the investment.

9. Improve your home’s insulation

If you’re already paying to heat your home, you should want to make the most of what you get – especially with energy prices being so high.

One of the best ways to do this is to make sure your home is appropriately insulated. You can draught-proof your home by:

Plugging holes and cracks
Insulating vulnerable areas like windows, doors, and floorboards
Utilising draught excluders or fitting a suitable carpet to prevent heat loss.

According to Energy Saving Trust, draught-proofing your home could save you up to £45 a year, or £65 if your home has a chimney.

10. Turn down the thermostat

With winter approaching, limiting your use of central heating can offer a great way to keep your energy bill down.

When you can, opt instead for an extra layer and wrap yourself up inside a warm blanket. Some nights are colder than others, but keeping windows closed and updating your home’s insulation can reduce the need to crank up the heating.

Installing thick curtains can stop some of your precious heat from escaping through the cold windows and keeps you warmer for less.

In turn, this additional energy efficiency will see you require less energy, helping to reduce your carbon footprint.

Key takeaways:

1. Understand your carbon footprint

2. Switch to renewables

3. Use less hot water

4. Turn off idle appliances and chargers at the plug

5. Consider an electric vehicle

6. Buy energy-efficient appliances

7. Use “smart” home appliances

8. Replace or service kitchen appliances

9. Improve your home’s insulation

10. Turn down the thermostat

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

Could remortgaging help you beat the cost-of-living crisis?

office@speek.co.uk (James Blakeway) — Tue, 06 Dec 2022 20:51:44 GMT

Could remortgaging help you beat the cost-of-living crisis?

Practically every penny of Mike’s monthly salary is accounted for so, as the cost-of-living crisis starts to bite, he’s worried about making ends meet. He’s started shopping around for cheaper deals on his broadband, mobile-phone contract, and car insurance, and he’s also cancelled his gym membership and a couple of his TV subscriptions. But he’s overlooked the bill offering the largest potential saving – his mortgage.

What is remortgaging?

Remortgaging involves taking out a new mortgage on a property you’ve already bought. You might do this to replace an existing mortgage deal or to borrow money against your home.

Is remortgaging right for Mike?

After Mike’s last mortgage came to an end, he didn’t look for a new deal so he was switched onto his lender’s standard variable rate (SVR). An SVR is usually much higher than fixed and tracker rates, and it can go up at any time. Research by Habito found 27% of mortgage holders in the UK are currently on their lender’s SVR, and they worked out - on an average mortgage - this translates to an extra £340 a month. This means Mike could almost certainly benefit from remortgaging.

Other reasons to remortgage

Even if you’re not on your lender’s SVR, there are a variety of reasons you might want to remortgage:

To beat interest rate hikes. As inflation goes up, interest rates are starting to follow suit, so it may make sense to lock into a low rate now.
You’re coming to the end of a deal. Mortgage advisers generally agree you should start looking for a new deal around three to six months before your current rate ends. However, the research by Habito found 46% of mortgage holders are unaware of this.
The value of your home has gone up. A significant rise in the value of your home may have moved you into a lower loan-to-value band, meaning remortgaging may give you access to reduced rates.
You want to borrow against your home. Remortgaging may allow you to raise money cheaply on low rates. Before doing this, it’s worth getting financial advice to make sure this really is the cheapest way for you to borrow.
You want to overpay, and you can’t on your current deal. If you’ve come into some money recently, remortgaging will allow you to reduce the size of your loan and possibly get a better rate. You’ll need to take into account any exit fees or early repayment charges to weigh up whether remortgaging makes financial sense.

Where to start

It’s not always clear cut whether you’ll benefit from remortgaging. A qualified mortgage adviser will look at your circumstances and find out exactly what you want to achieve by remortgaging. For example, are you simply looking to reduce your monthly payments or do you want a more flexible mortgage that allows payment holidays? The adviser will then set out the best options available. Regular mortgage reviews can help ensure you’re never overpaying unnecessarily.

If you’d like to speak to someone about your mortgage, we’re here to help.

Key takeaways:

Remortgaging can be useful in a variety of situations from reducing your monthly payments to borrowing money against your home.
It’s not always clear cut whether you’ll benefit from remortgaging – talking to a qualified mortgage adviser can help you decide whether it’s right for you.
Regular reviews with a professional can make sure you’re not overpaying unnecessarily on your mortgage.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

The Value of Mortgage Advice

office@speek.co.uk (James Blakeway) — Tue, 11 Oct 2022 11:41:09 GMT

Lindsay and Sam have just found out they’re expecting their first baby. Although they’re excited at the prospect of starting a family, it’s come as a bit of a surprise and their current living situation is far from ideal. They’ve been staying with Lindsay’s dad in his two-bedroomed terrace for just over a year while they save up a deposit for their first house . The lack of space and privacy has proved challenging to say the least. Adding a baby into the mix seems like a terrible idea.

On the positive side, Lindsay and Sam now have a decent deposit to put down on a house. Despite this, friends have warned the couple they’ve no chance of getting a mortgage due to their working situation. Sam is a self-employed roofer and he’s pretty successful. However, he’s only been working for himself for two years. His friends have told him, he’ll need at least three years of accounts before a lender will go anywhere near him. They say any mortgage the couple can get will be based on Lindsay’s income alone. Lindsay works as a hairdresser and her salary is nowhere near enough to secure the kind of mortgage they’re hoping for.

What can Lindsay and Sam do?

Should they resign themselves to bringing up their baby in Lindsay’s dad’s spare room? Or maybe they should accept that, for now, renting is their only realistic option.

In fact, the best thing Lindsay and Sam can do is stop listening to their friends – no matter how well meaning – and seek help from a qualified mortgage adviser.

But why? What can we tell you that you can’t find out online?

We know the market

If, like Lindsay and Sam, your needs or circumstances are ‘out of the ordinary’, your options may indeed be more limited than those of other buyers. However, this doesn’t mean you don’t have options. We know the lenders who are willing to consider buyers in your situation and we’ll check you’re likely to meet their specific lending criteria before submitting a formal application. This will save you time and avoid unnecessary searches on your credit file.

We look beyond the headline rate

An attractive rate may seem like your best bet when choosing a mortgage but you also need to factor in things like fees, loan conditions and the mortgage term. We look beyond the headline rate and can help you understand how the length and type of loan will affect how much you pay in the long term. We’ll also highlight any additional expenses like administration and booking fees, and valuation costs.

We do the hard work for you

As well as helping you select the right mortgage , we’ll work with you to complete all of the necessary application forms and liaise on your behalf with solicitors, valuers and surveyors. We can also recommend products that provide financial protection should the unexpected happen.

We’re professionally qualified

We’re fully qualified to advise you on a wide range of lenders and products.

*Your home may be repossessed if you do not keep up repayments on your mortgage.

Key takeaways:

Get help from a professional. Don’t rely on friends’ advice. The market is constantly evolving. Things that may have been true when your friends bought a house may not be true now.
Look beyond the headline rate when choosing a mortgage deal.
A mortgage adviser can help with more than just choosing the right deal, they can ensure the whole house-buying process runs as smoothly as possible.

*Your home may be repossessed if you do not keep up repayments on your mortgage.

The Value of Protection

office@speek.co.uk (James Blakeway) — Thu, 08 Sep 2022 14:12:20 GMT

Sylvia and Jim met at university and married within months of graduating. After their honeymoon, Sylvia was delighted to land a job in publishing, while Jim put his gift of the gab to good use in a sales role. A year after tying the knot, they bought a house. The couple were looking forward to spending the first Christmas in their own home and had a trip to Iceland planned to see in the new year.

However, on his way home from work on Christmas Eve, Jim was involved in a car accident and suffered life-changing injuries. The future suddenly looked very different. Jim was unable to work following the accident and Sylvia left her job to become his full-time carer. They could no longer afford to pay the mortgage and lost the house.

Hopefully, you’ll never find yourself in a situation similar to Sylvia and Jim. However, when you take out a mortgage - as well as insuring the building and contents - it may be worth thinking about getting protection insurance to provide financial security should you or your partner become critically ill or die.

What is protection insurance?

There are three main types of protection insurance:

Income protection insurance

This provides a regular income if you’re unable to work due to an injury or illness. You can get policies that replace a percentage (usually up to 70%) of your lost income until you return to work, reach retirement or die. Or, you can opt for a cheaper policy covering you for a limited period of time. Sylvia and Jim are not unusual in the fact they didn’t have income protection insurance. Research by the insurer Drewberry revealed 17.2% of people have never even heard of income protection insurance.

Life insurance

This provides either a single lump sum or a regular income to your loved ones when you die. This money can be used to pay off your mortgage or provide an income to cover ongoing household expenses.

Serious and critical illness insurance

This provides a single lump sum on the diagnosis of a range of serious, non-fatal conditions, including heart attack, stroke and cancer. It often comes as an optional extra to life insurance but can be bought separately.

So, do you really need protection insurance?

Figures from Aviva suggest that a lot of people do. In 2018, they paid out a total of £957m to over 26,000 customers in the UK. And that’s just one insurer.

But do these policies pay out when you need them?

In 2018, Aviva paid out on 98.9% of life insurance claims, 92.6% of critical illness claims and 87.3% of income protection claims. Meanwhile, figures from the Association of British Insurers and Group Risk Development show that, in 2017, the insurance industry paid out a record £5bn in protection claims. These figures suggest insurance companies do generally pay out.

There are also simple steps you can take to reduce the chances of a denied claim. According to Aviva, the most common reasons for refusing to pay out are:

incorrectly completed forms
failure to disclose all the facts up-front
not meeting the policy criteria for a pay-out

Getting help from a professional will help ensure you find the most appropriate cover for your circumstances and avoid doing anything that might jeopardise a potential claim.

If you would like to find out more about the income protection, critical illness or life insurance cover, we’ll be happy to help.

Key takeaways:

When you take out a mortgage, as well as insuring the building and contents, it’s worth thinking about getting protection insurance to safeguard your home in the event of you or your partner becoming critically ill or dying.
The three main types of protection insurance to consider are income protection insurance, life insurance, and serious and critical illness insurance.
Getting help from a professional will help ensure you find the most appropriate cover for your circumstances and avoid doing anything that might jeopardise a potential claim.

Is the U.K. Property Market About to Crash?

Thu, 19 May 2022 19:32:22 GMT

There’s been a lot of chatter recently about the UK housing market and one question that we keep getting asked is…

"Is there going to be a property market crash in the UK?"

So, we thought we’d see what the people “in the know” had to say about what’s lurking on the horizon for the property industry.

It seems even the experts are divided amongst their opinions on the future outlook for the property industry, with some predicting a slow-down and fall in seemingly ever increasing property prices, others are expressing concern over an impending market crash inevitably looming on the horizon, and in complete contrast to those above some experts are expecting things to continue much as they have been for the last couple of years, with demand for property still outstripping the supply chain.

(Source: Nationwide Building Society)

“It will be in 2026, that is at the end of a 14-year cycle in house prices within a business cycle of 18 years,” said British economic commentator Fred Harrison – who accurately predicted the 2008 financial crash.

“They’ll level off for a matter of months and then they start to go down.”

“With interest rates on the rise and inflation further squeezing household budgets, it remains likely that the rate of house price growth will slow by the end of this year,”

Halifax bank’s managing director, Russell Galley.

Tim Bannister, director of property science at Rightmove, says: “It will take time for the rise in interest rates to feed through to the market, and despite further rises being a possibility this year, right now the data suggests this is not dampening the desire for people to move."

“All you really need to care about is ensuring that you could afford your mortgage if interest rates rose and also that you’re going to be happy in your new home.”

Money Week's John Stepek.

So, who should you listen to? Will we see a market crash? Will prices fall? Or does the UK’s property bubble seemingly defy gravity?

With the Bank of England hiking base lending rates to curb skyrocketing inflation, it is inevitable that mortgage costs will rise, with the average fixed rate mortgage deal already exceeding 3% for the first time in over seven years, and variable rate mortgages tracking over 4%.

Things aren’t set to improve any time soon either, with further rate increases expected later in the year. For those who are out of their initial mortgage terms.

Now could be the time to get your mortgage rate locked back in.

It’s fair to say in the short term at least we will certainly be seeing increased lending rates across the board, that itself could impact property prices which we also expect to see calming down after a historical “boom” period, however the demand appears (at least for the moment) to still be a driving factor for property prices and the South West in particular has seen some of the best conditions for sellers in many years, but these are unprecedented times we are living in and uncertainty is still very much a factor in the air, hence why the experts are completely split on this one.

Are you looking to move home currently? Not sure about your current mortgage deal? Let us find the right mortgage deal for you.

It only takes a few minutes to conduct an initial assessment of your circumstances and we’ll be able to advise you there and then, with a decision in principle being obtained, quite often on the same day!

Call Us 0333 567 3311 or Contact Us Here

5 Steps to Getting Mortgage Ready

office@speek.co.uk (James Blakeway) — Fri, 11 Mar 2022 11:27:37 GMT

Whether you're a first-time buyer, a second-stepper or further up the housing ladder, buying a home is always a big move. With 60% of buyers reporting being put off moving because the change process has made them, here are some tips that can help you navigate the process as smoothly as possible.

Save Up

You will need to have saved a deposit - in most cases the bigger the deposit you can put down, the lower the interest rate is likely to be. Open a dedicated savings or investment account and make sure it's paying a competitive interest rate.

Budgeting

It's important to review your income and outgoings. Cut back on things like unused subscriptions and watch how much you soend on things like eating out. Prospective lenders will also look at the debt you currently have. If you have any savings, it makes sense to pay off loans and credit cards but be sure to leave yourself enough for emergencies.

Check Your Credit Score

A good credit rating can help you secure a better mortgage deal, with a lower interest rate. The general rule is the higher the score the better. If your credit score is low you can improve it by paying more than the minimum payments on a credit card, bring your overdraft down, close unused credit accounts or register for electoral roll.

Support From Families

Research carried out suggests the bank of Mum and Dad or even the bank of Gran and Grandad will help to buy 175,000 homes during 2020 by lending or giving you cash to help with a deposit or acting as a guarantor.

Get Some Good Advice

Taking advice will save you time, money and stress. We know the industry and the most appropriate lenders, to be able to recommend the most suitable mortgage for you. We can also offer useful advice on all aspects of the house buying process and be able to help you get a decision in principle from a lender, which will give a seller the confidence that you are a serious buyer.

YOUR HOME MAY BE REPOSSESSED IF YOU FAIL TO KEEP UP WITH REPAYMENTS ON YOUR MORTGAGE

Get the best out of your BTL mortgage

office@speek.co.uk (James Blakeway) — Mon, 24 Jan 2022 15:50:41 GMT

Many fixed mortgage deals will be approaching the end of their term this October, so it’s a good idea to review your buy-to-let mortgage.

With interest rates still at low levels and demand for rental properties increasing around the country, investing in a buy-to-let (BTL) is a popular choice for many.

Buy-to-let basics

A BTL mortgage is a specific type of product for those who want to buy a property with the intention of renting it. Because of this, there are different terms and rules around a BTL mortgage (compared to a regular mortgage for a property the buyer intends to live in.)

With a BTL mortgage, the anticipated rental income is taken into account when the lender calculates how much you can borrow.

A BTL mortgage could suit investors with enough equity to put down a deposit of at least 20% of the value of the property (but some lenders could require up to 40%.)

Your credit record is closely scrutinised with a BTL mortgage, as with a regular mortgage application.

Interest rates for BTL mortgages are usually higher than a regular mortgage.

Things to remember

If you have a BTL mortgage already and its fixed interest rate term is coming to an end, you may be thinking about switching products or providers to gain a better deal.

Here are some other things to look out for:

Examine all of your options into the type of product to suit your investment going forward. A financial adviser is best placed to help you with this.

Don’t forget to research any fees and charges around changing your product too, as these could be higher than you expect.

When changing products, you may be asked about your property’s rental income history in order to assure any new lenders that you are able to keep up with mortgage payments.

Show that you have sufficient savings to cover any gaps in rental periods when your property could be unoccupied.

For your own peace of mind, having a cushion of savings available to cover any essential repairs is important.

If you are looking to remortgage your BTL property or are thinking about transferring your mortgage to a different provider, our advisers can help you find a product that best suits you.

Some buy to let mortgages are not regulated by the Financial Conduct Authority.

YOUR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE

Key takeaways:

Many fixed mortgage deals will be approaching the end of their term this October, so it’s a good idea to review your BTL mortgage.

BTL mortgages come with different terms and rules than a regular mortgage.

It’s important to research all of your options when changing BTL mortgage products. A financial adviser is best placed to help you with this.

We offer initial fee free, no obligation advice, so just call us for a chat and let us help you to get the most from your property investment.

Do I really need a survey?

office@speek.co.uk (James Blakeway) — Mon, 24 Jan 2022 15:23:15 GMT

Do I really need a survey? Well, the short answer is yes.

Contrary to costs such as legal fees, estate agency fees or Stamp Duty, having your new home surveyed isn’t actually compulsory. However, with a property being the most expensive thing most of us will ever buy, the price of not having it checked by a surveyor could be devastating.

If you buy a property for the seller’s asking price and later find it has serious defects, it’s too late to back out of the purchase or renegotiate a price with your seller. You’re also likely to find yourself paying out to rectify the fault – and probably a lot more than you would have paid for a survey in the first place!

A survey to suit your needs.

There isn’t just one type of survey available – you can get different ones that range in cost, according to the kind of property you’re buying:

1. Condition report

What is it:

a basic overview of the property that only highlights the most significant defects; it doesn’t go into detail.

Suitable for:

those buying a relatively new home in good condition.

2. Homebuyer report

What is it:

a more comprehensive survey that highlights obvious defects such as damp or subsidence. It will include advice on any necessary repairs or maintenance and may also include a valuation or an estimation of rebuild costs. However, it’s not an intrusive survey, meaning the surveyor will only be picking up on visible issues.

Suitable for:

those buying a standard property in a reasonable condition.

3. Building survey

What is it:

the most comprehensive type of survey, which looks at the property’s structure and condition, lists any defects and advises on repair and maintenance work. Unlike a homebuyer report, this is a much more hands-on survey, so the surveyor will do things like going up in the loft or looking under floorboards or behind sofas.

Suitable for:

older or listed buildings, or properties that are in poor condition or have an unusual design or structure.

But what if I’m buying a new build?

Even though it’s tempting not to have a new build property surveyed, there can still be issues with new build homes that could be costly to repair. If you’re buying a new build, you’ll need a slightly different survey called a snagging survey. It identifies any defects with new build homes, from cosmetic issues to structural problems, which the developer will then have to fix within the two-year warranty period.

We can help

As a member of Openwork, we can refer you to our specialist Surveying Service, which offers access to a large network of approved surveyors across the UK.

For your peace of mind, get in touch.

Surveying is not regulated by the Financial Conduct Authority.

Key takeaways:

Do you need a survey of your new home? The short answer is yes!

Getting a survey done ensures you won’t buy a home only to find out about serious defects that could cost you a lot of money to repair

There are three types of survey: a condition report, a homebuyer’s report and a building survey

Each goes into more detail than the last, with the condition report being the most superficial and a building survey the most comprehensive

The type and cost of the survey you commission depends on the property you’re buying; if it’s a relatively new property in good condition, a condition report will be most appropriate

If you’re buying an older, listed or unusual property, you’ll likely need a building survey

As a member of Openwork, come to us and we’ll refer you to our Surveying Service.

Unlocking the value in your home

office@speek.co.uk (James Blakeway) — Mon, 24 Jan 2022 14:57:11 GMT

The number of people using equity release schemes fell last year as older homeowners grew more cautious.

Older homeowners seemed to be more reluctant to release cash from their homes in 2020, according to the Equity Release Council. Data from the trade body shows drawdowns from lifetime mortgages fell by 21% last year and 10% fewer plans were agreed than in 2019.

This drop suggests the coronavirus pandemic affected the equity release market in 2020, with activity slipping to a four-year low between April and June. Yet the end of the year was a different story – a backlog of cases meant it was unusually busy, with 11,566 new equity release plans agreed between October and December.

What is equity release?

Equity release enables homeowners who are aged 55 and over to access some of the money tied up in their homes. You can take the money as a lump sum or in several smaller amounts. Many people choose this option to supplement their retirement income, make home improvements or help children or grandchildren get onto the property ladder.

The most common way to release equity from your home is through a lifetime mortgage, which allows you to take out a loan secured on your property, provided it’s your main residence. You can ring-fence some of the property value as inheritance for your family and you can choose to make repayments or let the interest roll up. The mortgage amount, including any interest, is paid back when you die or move into long-term care.

Alternatively, you can take out a home reversion plan, which enables you to sell all or part of your home for a lump sum or regular payments. You can continue living there rent-free until you die, but you’ll have to pay to maintain and insure it. You can ring-fence some of the property for later use. At the end of the plan, the property is sold, and the proceeds are shared according to the remaining proportions of ownership.

Is equity release falling out of favour?

In 2020, £3.89 billion of equity was released from property, compared with £3.92 billion in 2019 and £3.94 billion in 2018, according to the Equity Release Council. These figures suggest people are biding their time before unlocking wealth from their homes, according to David Burrowes, the trade body’s chairman.

Yet interest rates for lifetime mortgages are now falling, which could encourage people to take the next step. The average equity release interest rate fell to around 4% during the last three months of 2020, with the lowest rates now at around 2.3% This rate is less than many of those available on 10-year fixed-rate mortgages, but higher than a lot of products with shorter fixed periods.

Is equity release right for you?

Deciding to release funds from your home isn’t a decision to take lightly. While equity release means you have money to spend now instead of leaving it tied up in your property, it can be a complicated process. Remember that equity release often doesn’t pay you the full market value for your home and it will also reduce the amount of inheritance your loved ones could receive. It’s important to talk to a financial adviser who can help you decide whether the process is appropriate for you.

A Lifetime mortgage is a loan secured against your home. A Lifetime mortgage may affect your entitlement to state benefits, and it will reduce the value of your estate.

Key takeaways:

According to the Equity Release Council, drawdowns from lifetime mortgages fell by 21% in 2020 and 10% fewer plans were agreed than in 2019, while activity slipped to a four-year low between April and June.

Equity release enables homeowners who are aged 55 and over to access some of the money tied up in their homes. You can take the money as a lump sum or in several smaller amounts.

Unlocking cash from your home is a complicated process – it’s really important to talk to a financial adviser who can talk you through your options and help you decide if equity release is appropriate for your circumstances.

We offer initial fee free, no obligation advice, so just call us for a chat and let us use our expertise to help you achieve your aims.

You will need to take legal advice before releasing equity from your home as

Lifetime Mortgages and Home Reversion plans are not right for everyone.

This is a referral service.