Standard Variable Rate
With a standard variable rate mortgage your payments will rise and fall with interest rates.
Advantages:
- If interest rates go down you will gain, as your payments will drop.
- There are not normally any early repayment charges.
- If you wanted to make overpayments there are rarely penalties.
Disadvantages:
- If rates increase you will have no control over your payments and will see your payments rise. It may be worth considering alternative mortgage types such as fixed rate or capped rate mortgages if keeping control of your budget is important to you.
For truly unbiased independent financial advice from an FAC adviser, feel free to call us in confidence on 01726 814935
We charge a fee for mortgage advice. Our typical fee is £500
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER LOAN SECURED ON IT.