Find A Mortgage Online

How to find a mortgage online is one of the easiest jobs we ever do! We can make it simple and go to one the large Mortgage companies in the main towns but that probably won’t get you the best deal. Thankfully today there are many alternatives, if you know what you want. Especially in the "Credit Crunch" we now find ourselves in.

In order to be able to find a mortgage that is right for your circumstances, you have to first decide why you want a mortgage.

• Is it to buy your first property?
• Do you want it for home improvements?
• Do you want it to fund a business?
• Do you want it to consolidate all your debts?
• Any other reason

These are just some of the questions you need to ask yourself. Then you need to know how much you can afford. This can be done easily by subtracting your net income from your current outgoings less your existing mortgage; the difference could be what you can afford. But you have to ask yourself if you really want to use up all your spare cash? The sensible approach is to take professional advice from an accountant if you don’t want to ask them, then friends will probably help.

You also need to remember that mortgage rates can go down but more importantly they go up! Will you have enough spare cash to cope with that? Think it through and plan it out. To get it right you need to “hasten slowly”, that way you will hopefully come up with the right answers. Also as Mortgage lenders and abnks are looking very carefully at any applcitaions do you have bad credit?

Which type of mortgage online?do I need

There are many types of online mortgage many of which can be tailored to your specific needs. Here are some of the more common:

• Repayment mortgage over so many years, Often 10 20 30, at the end of  the term the mortgage is repaid.
• Interest only mortgage, this is a cheaper alternative as you are not paying back the capital but you will need to find the balance outstanding i.e. the amount you borrowed, at the end of the term.
• Endowment Mortgage, this is similar to an interest only mortgage but a life assurance policy is taken out alongside, which when it matures should pay the outstanding debt. However with the current low interest rates this does not always happen causing many problems. Definitely consider non biased professional advice if you consider this.
• Self certified mortgage, mainly for self-employed people, these are very popular and often do not depend on proof of earnings, but they can be more expensive than a standard mortgage.
• Buy to let mortgage for those intending to purchase a property and rent it out, again this is a complex area you have to ensure that your expected rent more than pays the mortgage and gives you sufficient surplus to cove expenses. You may well benefit over time with property appreciation and increased rents but be warned if the sums are too tight the mortgage may increase but your rents may not! As ever take professional advice!

Where to go for a mortgage

• Main Lenders

• Brokers (Yellow pages)

• Internet (excellent way of getting initial quotes for your costing, quick and easy)

• The phone Book

• Recommendation

• Sometimes trade associations

 What else do I need?

 You need to ensure that you have sufficient life assurance in place to cover your debt if you die. You should also consider insurance for illness and loss of work; these are areas where a good independent broker can cover this for you as well as the mortgage. Just remember that they get commission on their sales, ask them how much but they are giving you a package in return.

 Just a few pointers to help find an online mortgage, so good luck and do your homework first!