Facts On Mortgages And Remortgages
November 23, 2009 by Eddie Reid
Filed under Mortgage
There are many types of loans, including secured loans, and remortgages and mortgages are both part of this known as secured loans.
These are both secured loans and what they are secured against is the asset of a homeowners property, and the maximum sum of remortgage or mortgage available is depends on the amount of equity.
Equity is the difference between the value of a property and the mortgage secured on it.
An example of what equity in fact is, on a property valuation of 280,000 and a mortgage outstanding of 80,000, the available equity would be 200,000.
Mortgages and remortgages of 100% LTV are no longer available.
Few mortgage lenders are even willing to grant 95% LTV mortgages and remortgages .Even 90% LTV mortgages and remortgages are only available from a small number of providers.
This is all very different to the remortgage market that existed up to the beginning of 2007 when mortgages up to 100% LTV were far from being unusual and the Northern Rock even granted remortgages and mortgages up to 125% of the available equity on the property. This all of course helped towards the demise of that particular building society.
Remortgages and mortgages have low rates of interest currently and tracker remortgages and mortgages are at an all time low.
The tracker remortgage and mortgage do exactly as it says on the box and that is why they are so low at present as they track the Bank Of England Base lending Rate of 0.05%.
At the moment tracker mortgages and remortgages are available from 1.98% for those with a maximum 60% LTV and from 1.99% for those with a maximum 70% LTV. Although there is a bit of gloom and doom in the financial sector mortgage products are still available as well as cheap.
Fixed rate remortgages and mortgages are also readily available from about 3%, and as such the mortgage and remortgage sector still offer good mortgage deals.
For more information please visit remortgages
categories: remortgage,remortgages,mortgage,mortgages,secured loan,secured loans,homeowner loan
