The festive period seemed to start early this year with Christmas music played in stores from the middle of November.  It seems to indicate that people are starting their Christmas preparations well in advance – or certainly that the shops would like them to.

As we go into the Christmas break and towards the period of New Year, many of us look at what other preparations we need to put in place and we want to achieve in the year ahead.

Upsizing, downsizing and relocation

There is always a surge of people wanting to move house in January. Perhaps it is the increased number of people in our homes, together with presents and wrapping, which makes many of us realise our house is too small – or even too big if your family has flown the nest?

Alternatively, you may be aiming to change jobs and need to move to a different location? At any point when you’re looking to buy, it’s important to get the mortgage sorted first.

As soon as you start looking for a new home, an estate agent will want to know that you have the funds in place in order to buy, so it’s good to get in touch with a mortgage adviser that you trust as soon as possible before you start house hunting.  

It is possible to get what is called a ‘decision in principle’ from a lender, even before you’ve found a property, which will enable you to prove that you have the funds to buy a new home and will help to put you at the top of the list for viewings. It also means that any offer you put in will be taken more seriously than someone who doesn’t already have a mortgage lined up.

 

Remortgaging

It could be that you are staying in the same home but that you are one of the 1.8 million people, according to trade body UK Finance, whose fixed rate on their mortgage is coming to an end this year.

The most important thing is that you don’t let your mortgage go onto your lender’s Standard Variable Rate (SVR) or you will see a huge increase in your monthly payments. The average SVR across all lenders was 8.24% at the end of November, and 7% across the six big lenders.

Rollercoasters

Mortgage rates have been on a rollercoaster this year, going up, then down, then creeping up again since the budget.

Finding the best mortgage for your particular circumstances is a minefield.  Did you know, for instance, that at the start of November this year, there were 6,402 different mortgage deals to choose from?

Whether you’re buying or remortgaging, it is now impossible for any individual to go to a high street bank and know they are getting the cheapest mortgage. And in many cases, even if someone can find the cheapest mortgage, they may not qualify for it for a whole heap of reasons. Mortgage lenders need a borrower to fit certain ‘criteria’ before they lend to them. There are many thousands of criteria which look at everything from whether you’re self-employed to whether you receive maintenance or live in a leasehold property.

Help is at hand

Fortunately, we have tools and software that allow us to scan thousands of mortgages to find the right – and importantly, the lowest rate – mortgage for your individual circumstances. This includes many different mortgages that aren’t even available directly to the public.

So, in between the festivities this Christmas, if either you or your mortgage needs to change, get in touch with. It is never too early to see exactly what your options are and to start arranging the most affordable finance.