Offset mortgages - how flexible mortgages work

Flexibility is a concept rather than a specific mortgage type. It is possible to have a fixed rate that is flexible or a discount that is flexible. In the UK there is no defined standard of what makes a mortgage product flexible. However, when seeking a flexible deal we would advise that you look for the following features.

- Interest calculated daily
- The ability to overpay the mortgage on a regular basis
- The ability to underpay the mortgage on a regular basis
- Able to make Lump sum payments
- Possibility of running a current account within the mortgage
- Ability to take payment holidays
- No early redemption penalties

Advantages

- More control over the mortgage and if used proactively, can dramatically reduce the number of years you have a debt. Excellent for people who are paid irregular salaries such as commission earners and the Self-Employed.

Disadvantages

- Flexible mortgages don't always have the cheapest rates so usually one needs to be in a position where overpayments are a reasonable certainty to get the most out of this type of product.

When helping you to choose what type of mortgage is best suited to your needs it is reassuring to know that we utilise software systems that can access over 3,000 different schemes! This market leading technology, coupled with our understanding of the industry and its products, ensures that we provide the advice most appropriate to your individual circumstances and requirements. Contact us through our website at http://www.premierfs.co.uk for more information.