The best mortgage and how to find it

Posted on 20 August 2008 by Drew

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When people find out that you work in mortgages, the first question they invariably ask is "what’s the best mortgage?" A fair question I think. After all, it’s like asking a chef what the best pudding is. However, unlike the pudding question (it has to be apple crumble) the answer to what the best mortgage is does not come quite so easy. When I begin with "the best mortgage for you will depend on a number of factors such as mortgage size, fees, freebies", the general reaction is "just tell me the best mortgage".

I then drift into explaining it in a way that hopefully gets their attention. "Size matters"…sorry, what did you say. So now I have them.

As a general rule of thumb, the bigger your mortgage the better you will be paying a larger fee and securing a low rate. If you have a relatively small mortgage you are probably better taking a higher rate with a smaller fee. As a very, very generic addition to this rule of thumb, the cut off point is normally around £150,000. "Oh, I see, that makes sense" is the normal reaction to that. I then really chance my arm by mentioning flexibility and free legal fees and this can go either way. They have either bought in or I have just lost them again.

The moral of the story is that whatever you feelings are on mortgages, and getting the best mortgage, you should make sure you take the decision seriously. It is the largest financial commitment that most of us are ever likely to make, so to make sure you get the best mortgage you should probably go and find the best fees free mortgage adviser. Luckily, you already have…

Categories: Mortgages, Interest rates

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