For a long time, a mortgage term was generally accepted to be 25 years and even now, if you ask many borrowers how long a mortgage term should be, many will still say 25 years.
In today’s market though, there is no reason why 25 years should be thought of as a default option. Choice is paramount and understanding the consequences of taking longer or shorter terms than 25 years is an important part of the mortgage planning process.
In fact, we would argue that as much time should be given to how long a mortgage should be, as you would to decide how much can be borrowed and affordability of repayments.
At one end of the scale a mortgage can be set up for a year or even shorter, at the other end, terms of 40 years or more are available in some cases. Taking the time to look at what term suits you may save you money but equally importantly, it may be the difference between making the mortgage a possibility or not.
Terms can, for example, be set to coincide with retirement or any specific age that fits personal aspirations, including well before the statutory retirement age or even after retirement. Terms of mortgages do not have to be whole years either. A mortgage of 19 years and 4 months is perfectly possible, for example, if that suits you more, for whatever reason that may be.
No two families are the same. We specialise in providing bespoke advice that will help you decide what term is best for you in your personal set of circumstances.
We will listen to what you wish to achieve, understand your financial position and then recommend the most suitable mortgage product from across the market.
The most important thing to bear in mind is that we can tailor your mortgage to specifically meet your personal needs after understanding your family dynamics, financial circumstances and overall objectives.
Why not give us a call today and find out more?
0333 34 44 34 8
The information provided in this article is not intended to constitute professional advice and you should take full and comprehensive legal, accountancy or financial advice as appropriate on your individual circumstances by a fully qualified Solicitor, Accountant or Financial Advisor/Mortgage Broker before you embark on any course of action.