|
|
|
|
Capped Rate Mortgage
With a capped mortgage an upper limit to the interest rate you will pay over a given period of
time set. So if the Bank of England base rate climbs above the
capped rate you will benefit. But if it falls below the capped rate you'll just be paying what everyone else is paying.
Capped rates tie you in to the mortgage for a set period of time
which is usually between 1 and 5 years, although we've recently seen the introduction of the first mortgage to be capped for 25 years. It is something the Chancellor of the Exchequer is keen to investigate further as a means of stabilising the housing market so we may be seeing more
capped rate mortgages in future.
|
 |
|
|
|
Capped rates give you part of the advantages of fixed rates and of variable rates. Again, you'll have to give something back for this. For example, the capped rate is likely to be higher than any fixed rate you can get. Like fixed rates, they make good sense for those on tight budgets who need to ensure that their monthly payments don't rise too far.
Let an expert adviser do all the shopping around for you
It is very important to shop around to get the deal that
is right for you. A truly independent adviser is not tied to a single lender or to a restricted panel of mortgage companies.
Instead they will scan the entire market to locate the most
appropriate and cheapest deals for you.
Simply provide a few details by filling in our no
obligation online enquiry form. It costs you nothing to
see what your options are.
|
|
|
|
|
