jargon buster : v
Below is a glossary of the terms you may not be sure about now and should understand when taking out a new mortgage. These are not legal definitions but clear everyday descriptions to help you make a more informed choice.
Any examples given are designed solely to simply illustrate the basics of the concept and are not to be taken as anything beyond that.
A lot of mortgage adviser regularly used terminology were banned in October 2004 and replaced by industry standard phrases to help consumers understand things better. The old terms have been included for reference purposes.
No information given here should be taken as advice.
| Val | Slang for valuation |
| Valuation | Not to be confused with a survey. A valuation is a report for the lender’s own use stating the current value of the property and other limited information concerning the state of repair, the area, etc. |
| Valuation Fee | A fee paid to a lender or broker to cover the cost of the valuation |
| Valuation Report | See valuation |
| Value | The price that a property would, in normal circumstances, be expected to sell for in the current market. Normally determined by an estate agent and not useful for mortgage lending purposes. |
| Variable Rate Mortgage | A mortgage whose interest rate rises and falls at the discretion of the lender though normally follows in line with an index |
Your home may be repossessed if you do not keep up repayments on your mortgage.
The actual rate available will depend on your circumstances. Ask for a personal illustration.
Think carefully before securing other debts against your home.
There will usually be a fee charged when we successfully arrange a mortgage / re-mortgage. The amount will depend on the complexity of your requirements and your personal circumstances, typically the fee charged will be 3% of the mortgage advance (minimum fee £3,000 up to a maximum of £10,000).
The overall cost for
comparison is
8.2% APR