Frequently asked questions about our indepent mortgage advise

Q. How much does a mortgage cost?

A. It depends on the size of the house. This sounds obvious, but alongside the cost of the property, you need to consider that as the property value increases so do:

survey fees
stamp duty
higher lending charge (if applicable)
insurances
sometimes solicitor charges
usually a minimum deposit of 5%

Q. How much can I borrow?

A. Income multiples vary from around 2.5 to 4 and above. Depending on your credit rating and the lender to whom you apply you will get a variety of responses. On average, aim for a mortgage not more than three times your income. That said, there is a trend among lenders to look at affordability now. This means if you have few other outgoings you might be able to borrow more. It is also vital to consider the impact of future interest rate rises on your monthly mortgage payments. You might find them affordable now but what if rates went up or your income fell? Speak to us about protecting yourself against these eventualities.

Q. Which lenders do we have access to?

A. We use all the main lenders that deal with brokers. Halifax, Abbey, Nationwide, Alliance & Leicester, NatWest, Bank of Scotland, Chelsea Building Society and Woolwich to name but a few. Often, these lenders will provide us with offers not available on the high street.

Q. Where can I get a mortgage if I have bad credit?

A. We have access to sub-prime lenders. If you have minor adverse credit, you may not be aware that many of the high street lenders may still consider your case on a non-mainstream product. Alternatively, some have a sub-prime mortgage lending arm which could help. Even if you have more serious problems such as defaults, CCJs or a discharged bankruptcy there are lenders who can help - often with better mortgage rates than you might expect.

Q. How much can I borrow on a buy-to-let mortgage?

A. Maximum 90%. However, most that lenders will currently consider only 85%. The rental must usually be 130% of the monthly interest only payment. To see if your rental potential is high enough follow the formula:

On an interest only mortgage, the figure you come up with must be equal to or less than your rent. Some lenders we deal with have a more favourable calculation, so use the above as a rule of thumb.

Q. What fees are involved?

A. There are a few which may be incurred. Most mortgage lenders will charge an arrangement fee for the work they carry out, sometimes called an administration fee. Occasionally, this contains the valuation fee though, usually, you will have to pay for the valuation separately. Often there is a small fee of Ł20-40 for the lender to transfer the money to you electronically. A deeds holding fee can be charged and other miscellaneous charges such as legal fees and, for fixed rate products, a booking fee to hold the funds, can be added in. Many of these can be added to the loan while some are payable up front.

Q. What next?

A. Contact Atlas Mortgages. Contact us via one of the methods in the 'contact us' section. If you wish to make an application, we will arrange a meeting to collect your details and listen to your requirements. Next we will provide you with a key features illustration and, if this meets your approval, make your application to the mortgage lender. Later, you will receive a suitability letter which details the reasons this mortgage was chosen for you. .