Trinity Financial recently arranged a £1 million remortgage significantly lowering a client's monthly repayments.
As his fixed rate mortgage was coming to an end in six weeks, he wanted to remortgage to a lender offering cheap five-year fixed rates. He also wanted to extend his mortgage term from 15-years to 25-years to make the monthly repayment more affordable.
Trinity's broker needed to find a lender offering larger loans and longer terms taking applicants to their 70th birthday.
He contacted the specialist lending team at a challenger bank to get the case agreed. As the client was at a low loan-to-value and had a good salary, the lender was happy to provide a 25-year term and a low rate with a £499 arrangement fee.
Rate: 1.89% five-year fix
Reversion rate: The bank’s standard variable rate currently 4.25%.
The overall cost for comparison is 3.39% APRC representative.
Lender’s arrangement fee: £499
Mortgage term: 25 years
Repayment type: Full capital repayment
Early repayment charge: Yes - for five years
Overpayments: Up to 20% per year without charge
Representative example: An interest mortgage of £1,000,000 payable over 25 years, initially on a 1.89% fixed rate for five years and then on a standard variable rate (currently 4.25%) for the remaining 20 years, would require 60 monthly repayments of £4,185.20 followed by 240 monthly repayments of £5,176.09. The total amount repayable would be £1,495,622 made up of the loan amount, plus interest (£493,373) and £499 (product fee), £50 (final repayment charge), £35 (completion fee). The overall cost for comparison is 3.39% APRC representative.
The actual rate available will depend on your circumstances. Please ask for a personalised mortgage illustration.
Call Trinity Financial on 020 7016 0790 to secure a £1 million+ mortgage