popular ways to buy a house purchasing loans in uk top mortgage providers explanation of type of mortgage available for property purchase options for mortgaging house morgage types of morgage in uk property
different types of mortgage for uk home buyers mortgage types for home buyers loans types of home loans for uk house finance loan types of mortgage options home buyers loans alternatives
types of mortgage for uk home buyers mortgage types for home buyers loans types of home loans for uk house finance loan types of mortgage options home buyers loans alternatives popular ways to buy a house purchasing loans in uk top mortgage providers explanation of type of mortgage loan types of morgage in uk property Bulletin Board Home Page
Types of Mortgage,options,choices,preferences,home loans,alternatives,ways,popular,cheapest,guide,explanations
Mortgages explained
Types of Mortgage
Repayment Mortgage
Endowment Mortgage
Interest Only Mortgages
How Much Can I Borrow ?
Mortgage Payback Rates
Variable Rate
Fixed Rate
Capped Rate
Discounted Rate
Remortgages
First Time Buyers
Buy to Let Mortgage
Commercial Mortgages
Mortgage Costs
 

Info on surrendering a life policy
Click HERE

FAQ's
Glossary of Terms
Payback Calculator


TYPES OF MORTGAGE

There are essentially two types of mortgage:

  • Repayment, (capital and interest mortgage)
  • Interest only, (ISA, pension or endowment mortgage)
Repayment.
Your monthly repayments consist of repaying the capital amount borrowed together with accrued interest. On your mortgage statement, normally received annually, you will see that the amount borrowed decreases throughout the term.

Interest only.
With this type of mortgage, only the interest is paid off with each mortgage payment. The borrower also takes out at the same time, an alternative ‘repayment vehicle’ (method of paying off the mortgage) such as an ISA, pension plan or endowment policy.

The most important difference about an interest only mortgage from repayment type is that the monthly repayments do not repay any of the outstanding capital balance. As a consequence it is important that the payments are maintained into the repayment vehicle otherwise it will not be possible to pay off the mortgage at the end of the term.

Repayment Mortgage
Endowment Mortgage
Interest Only Mortgages





 


No Annual Fee's !


TD Waterhouse - Trade shares online at 9.95 per trade, with 20 days to settle payment and access to best investment news, charting and trading tools 24/7.

Shares, ISA's CFDs easily managed online !

 

For ISA & share accounts with no admin fees !
For CFD and Spreadbetting accounts !








All rights reserved    types of mortgage for uk home buyers mortgage types for home buyers loans types of home loans for uk house finance loan types of mortgage options home buyers loans alternatives popular ways to buy a house purchasing loans in uk top mortgage providers explanation of type of mortgage available for property purchase options for mortgaging house morgage types of morgage in uk property    © Site Terms and Conditions apply. Based in London. UK