A GUIDE TO FINDING THE RIGHT MORTGAGE FOR YOU

INTRODUCING OUR MORTGAGE SERVICE

Taking out a mortgage is a significant financial commitment, and it is not always easy to know where to start. This guide is designed to help you through the process by explaining your options clearly.

OUR MORTGAGE SERVICE

Our Mortgage Consultants are authorised and regulated by the Financial Conduct Authority (FCA) to provide clear and practical advice on your mortgage and protection needs.

We take great pride in finding the right mortgage product for your circumstances. Whether you are a first-time buyer, a next-time buyer, a buy-to-let investor or remortgaging for a better deal, our Mortgage Consultants aim to:

Search thousands of mortgage deals from our panel of selected lenders to find the right mortgage for you
Confirm how much you may be able to borrow and all the costs involved
Save you money on the property you choose by helping you construct a suitable offer. If your property purchase is for sale through another agent, and as long as we are not acting for the seller of the property, we can help with negotiations to aim to save you money.
Help you find a new home and explain everything you need to know about the house-buying process
Take care of all your mortgage & protection arrangements, whether you buy through an estate agent in our network or not

LIFETIME MEMBERSHIP

When you take out a mortgage through us, you can choose to become a Lifetime Member, receiving ongoing mortgage and insurance advice for life.

Exclusive benefits include:

Never have to pay a broker fee again, no matter how many times you move or remortgage your existing home. Please note that an administration fee will still be applied to all current and future mortgage applications.
£100 when you recommend a friend or family member to us. Terms and Conditions apply. This promotion can be withdrawn at any time without notice. £100 will be paid into your bank account 30 days after your friend or family member has completed their mortgage. No cash alternative is available.
Fully transferable across our brand. Offering long-term value and the freedom to explore everything our group has to offer.

REPAYING YOUR MORTGAGE

Your Mortgage Consultant will discuss the options for repaying your mortgage and advise the most suitable method for you. There are two main types of mortgage: repayment and interest-only. The option that is most suitable for you will depend on your circumstances.

REPAYMENT MORTGAGE

Each monthly repayment consists of capital and interest
Your loan gradually reduces
At the end of the term, your mortgage will be repaid, provided you keep up your monthly repayments
A low-risk method - suitable for people who would like to guarantee the repayment of their mortgage

Your Mortgage Consultant can help you to find the right number of years over which to repay your mortgage. Please note that the longer your mortgage term, the more interest you will have to pay the lender.

INTEREST-ONLY MORTGAGES

Monthly repayment consists of interest only
No capital repayments are made during the term, resulting in lower monthly costs
Suitable in limited circumstances for people who do not wish to repay the capital until the end of the mortgage term
Requires a separate repayment vehicle to pay off the capital at the end of the term
Not accepted by all lenders unless an investment vehicle is also in place
If the proceeds of your repayment vehicle do not cover the full amount of your mortgage, you’ll be responsible for paying the difference

At the end of the mortgage term, you will still owe the original amount you borrowed and will not own the property outright, so you need another plan for raising the money to do that, known as a ‘repayment vehicle’, such as an endorsement, pension or ISA. We are not able to advise on the suitability of your selected repayment vehicle. If uncertain, we recommend that you seek independent financial advice.

TYPES OF MORTGAGES AVAILABLE

Here are some of the most popular types of mortgages available.

FIXED RATE

Your mortgage rate is fixed for a period — typically 2, 3, 5 or 10 years
Gives you a fixed figure so you can calculate your monthly budget
You are protected from rate increases during the fixed period
You move on to the Standard Variable Rate at the end of the fixed rate period unless you remortgage

Look out for:

Early repayment charges and arrangement fees (these are likely)
Payment shock – This is an increase in the payment on an adjustable-rate mortgage that may surprise the borrower at the end of an incentive period
Any Bank of England interest rate rises won’t impact your fixed rate; however, you will not benefit from any decreases in the base rate either

BASE RATE TRACKER

Your payments track the Bank of England Base Rate plus additional interest
You may benefit from immediate rate reductions
Payments more accurately reflect the underlying interest rates of the time
You are not protected from rate increases

Look out for:

Arrangement fees
Early repayment charges and arrangement fees (these are possible)
Payment shock – This is an increase in the payment on an adjustable-rate mortgage that may surprise the borrower at the end of an incentive period.

VARIABLE RATE

No hidden extra charges - You always pay the lender’s current rate
You may benefit from rate reductions
You are unlikely to have any arrangement fees or early repayment charges
Your payments follow your current lender’s Standard Variable Rate

Look out for:

When the base rate rises, the Standard Variable Rate will likely increase too, and this is typically higher than the Bank of England
Your monthly budgeting can be more difficult

CONVEYANCING SERVICES

Conveyancing is the legal transfer of a property from one person to another. It includes all the legal work plus a variety of important searches and checks on the property.

Our Home Conveyancing service offers:

Fixed Legal Fee
Peace of mind with our “no sale, no legal fee” promise
Search Pledge on third-party costs if your purchase falls through, and it is not your fault
Specialist expertise for property in England and Wales
No need to visit a Conveyancer's office
Upfront searches giving you the possibility of moving 2 weeks earlier than others (terms and conditions apply)

A conveyancer will charge an additional fee for their services, and there are thousands based around the UK, so to avoid confusion and make the process as stress-free as possible, this is where we can help.

VALUATION AND SURVEYS

The lender will process your application and arrange a basic mortgage valuation to ensure the property is worth the mortgage amount they are lending you. You should be aware that this valuation is not a survey and may not identify any physical problems with the property.

RICS Home Survey Level 2 (Survey Only)

This report is suitable for conventional properties, built from common building materials and in reasonable condition. The focus of the report is on assessing the general condition of the main elements of the property.

RICS Home Survey Level 2 + Valuation (Survey and Valuation).

This report is as above, but also includes the surveyor’s professional opinion on the ‘market value’ of the property and an insurance reinstatement figure.

RICS Home Survey Level 3 (Survey)

The level 3 Survey is the most detailed survey Connells offers. Typically instructed on older properties, those that have been extended or altered significantly or those of unusual construction.

Comments on defects and their cause, and advises on remedial measures required
Does not include a valuation

We can help you choose which survey would suit you best and arrange it for you, either directly with the lender or via our Survey and Valuation department.

THE HOME BUYING PROCESS

We’re here for you every step of the way, ensuring the process is as smooth as possible.

1. Meet with our Mortgage Consultant

Speak to one of our Mortgage Consultants who will help assess your affordability for a mortgage.

2. Mortgage Approval

We will then search for an appropriate mortgage provider and find out how much they are prepared to lend to you in principle (subject to status and lender criteria).

3. Your decisions

We will help you find your dream home, as well as give you guidance on what offer to make if the property is for sale with another agent.

4. Applying for a mortgage and protection products

If your offer is accepted, we can help arrange your mortgage and happily discuss any protection needs you may have. 5 Legal process Most people use a conveyancer or solicitor when buying a house, as it can be a complicated process. We can help you appoint one, if you wish.

6. Your lender will arrange a valuation

This is a requirement for your mortgage. Please note that having a survey done on the property would be in addition to this.

7. Mortgage Offer

If everything is in order, a mortgage offer will be made.

8. Searches

Local searches are carried out by your conveyancer or solicitor.

9. Exchange

From this point, the purchase is legally binding. (Note that Building and Contents Insurance must be put into force from this point)

10. Completion

The property is yours, and you can move in!

PROTECTING YOU, YOUR HOME AND YOUR FAMILY

Buying a property is a major investment, so it is wise to protect yourself and your home.

BUILDINGS COVER

The mortgage lender will require you to have buildings insurance in place from the point you exchange contracts on a freehold property.

This helps to cover the costs of repairing damage caused by sudden and unexpected emergencies, such as a burst pipe or structural damage caused by a storm or fire. Building cover ensures your home is safe and habitable after such incidents.

There are also options available for additional accidental damage cover.

CONTENTS COVER

Contents insurance protects the belongings inside your home. This includes everything from furniture and appliances to personal items like clothing, electronics, and valuables.

PROTECTING YOU AND YOUR FAMILY

There is a range of options to help protect you and your family if you were to die or if ill-health forced you to take time off work.

Speak to our Mortgage Consultant about:

Life insurance
Critical illness
Income protection

PREPARING A WILL

When you buy a property, you become the owner of a substantial asset, so it is important to consider putting a will in place. Our partner Redstone Wills is one of the largest will-writing specialists in the UK and can offer: