Mortgages

We specialise in all types of mortgages and remortgages which can be a difficult task to arrange at the best of times.

Here at Cranfield Mortgages we take the stress out of arranging a new mortgage or remortgage for you, not only do we find you a competitive rate but we liaise between estate agents, solicitors and the new lender on your behalf, so you can get on with your day to day life knowing we are doing all the work for you.

To arrange your no obligation mortgage consultation simply contact us where you will find your nearest advisor. All our mortgage advisors are CeMAP qualified and appointed representatives of Openwork Limited who are authorised and regulated by the Financial Conduct Authority.

Introduction to Mortgages

Mortgages are loans which are intended to help buyers purchase residential and commercial property. When an individual takes out a loan, the lender charges interest: the same is true of a mortgage.

A mortgage is a ‘secured’ loan, which means that the loan is secured against the value of the property being purchased until the mortgage is paid off. Sources of residential mortgages include high street banks, building societies and other types of less well known financial institutions.

Basic Conditions

Mortgage providers follow a set of rules and procedures when deciding if they will agree to provide a mortgage to purchase a residential property. Different lenders apply different lending criteria, the amount a potential buyer can expect to borrow is determined solely by the mortgage provider’s requirements.

Here are some of the requirements lenders look at when making their decision:

Affordability

The mortgage provider will want to be certain that the borrower can afford to service the loan — i.e. to make the monthly repayments. To help them make that decision, the lender will want to see the borrower’s income and outgoings.

Deposit

The amount the borrower contributes towards the cost of buying a property — the ‘deposit’ — is a major consideration. The larger the deposit the lower the risk to the lender. The lower the risk to the lender the better the deal they offer the client.

Value

Mortgage providers lend against the value of the property, not the agreed purchase price. To avoid lending more than is necessary (and therefore increasing their financial risk) most mortgage providers will insist on having the property valued by a qualified surveyor.

Property Type

Some lenders will not consider mortgaging certain types of properties. Leasehold properties, properties below a certain price, property being purchased through an assisted purchase scheme or under a Right to Buy scheme, or where property is being purchased ‘off plan’, may not be acceptable to the mortgage provider.