Statistics show that on average, people living in the UK will pay off their mortgage by the time they are 69, but do you know when your last payment will be?
At the moment, nearly a third of the UK population are sitting on Standard Variable Rate, meaning they are paying more than they need to in interest each month.
What is a Standard Variable Rate (SVR)?
A SVR is a type of mortgage interest rate that most borrowers go onto after finishing a fixed, tracker or introductory rate.
When you’re on a Standard Variable Rate it means your payments can go up or down according to changes in interest rates.
Anna Pepler, our Managing Director, said: “We never want any of our clients to pay more than they need to throughout the lifetime of their mortgage. That’s why we have a whole team dedicated to looking after our existing clients.”
“When the lender reverts the mortgage loan onto their SVR it means the borrower will be paying a higher interest rate with no security to guard them against possible future rate rises.”
“If you think your mortgage is due for a review, please get in touch as you could save hundreds of pounds in interest and pay off your mortgage sooner!”
Kick that mortgage up the butt
The average repayments on a mortgage add up to £7,800 a year, research shows.
If you cleared your mortgage, the typical homeowner will effectively have £650 a month extra in their bank account.
Last year we wrote a blog which listed three ways to pay off your mortgage quicker. From overpaying each month to reducing your mortgage term, it lists the simple ways to become mortgage free before your agreed redemption date.
Or if you’d like to speak to us to review your situation, give us a call on Freephone 0800 138 5856, we’d love to hear from you!