Maxwell Mortgage Services Blog

September 2020 -Newsletter

craig@maxwellmortgageservices.com (Craig Maxwell) — Thu, 24 Sep 2020 14:05:53 GMT

Mortgage Affordability in a post-COVID world, Considerations for first time buyers, Is now a good time to remortgage? And why its more important than ever to speak to a broker.

In uncertain times and what has become a very volatile mortgage market, I've put together some information regarding the current state of play in the industry, which can be found below in the Maxwell Mortgage Services - Viewpoint monthly newsletter. As ever, if you need to talk about anything mortgage related, my team and I are always on hand. You can find our details on the contact us section of the website.

Take care and stay safe

Craig

Borrowing options in your later years

Tue, 14 Apr 2020 15:41:18 GMT

Mortgage Blog

Retirement is an exciting time; the start of a new chapter in life. Whilst we will have worked, saved and prepared for this moment for a long time, many of us will find we don’t quite have enough money to fund all the things we planned to do.

Luckily, there are an increasing number of options for borrowing in your later years, enabling people to stay in their homes for longer and help fund their retirement lifestyle.

Mortgage

One option is a traditional residential ‘capital and repayment’ or ‘interest-only’ mortgage. Many lenders have increased their upper age cap limits in recent years, enabling mortgages to now be applied for by people up to 80 years old and allowing mortgage terms that end when a customer is up to 85 years old.

You’ll have a better chance of being accepted for these mortgages if you have a good credit history. Your income will need to be high enough to easily cover the mortgage payments, so lenders will be looking for proof of pension income. This is easier to do once you are retired. However, if you are yet to retire, your pension provider can give confirmation of your expected retirement date, current pension pot and expected retirement income. The mortgage provider will also be interested in other income you may have, such as from shares and property investments.

Equity Release

Another option is equity release. With an Equity Release Mortgage, you borrow an amount against a part-share of your home, either as a one-off lump sum or a monthly income.

You still own your home, and the payment can be used for a variety of purposes. These are, most commonly, to pay off an outstanding mortgage, pay for a major purchase or unexpected cost, or simply to help fund your retirement.

Lifetime Mortgage

A Lifetime Mortgage differs to a traditional Residential Mortgage as payments do not need to be made throughout the term of the mortgage. Instead, the total amount borrowed plus the interest is repaid when the house is sold, which is usually after the borrowers have moved into a care home or passed away.

Both Equity Release and Lifetime Mortgages will impact elements such as how much inheritance you have available to pass on, eligibility for state benefits and your tax position.

Each of these borrowing options suits different circumstances so you must carefully consider which would be best for you in your later years.

You will need to take legal advice before releasing equity from your home as Lifetime Mortgages and Home Reversion plans are not right for everyone. This is a referral service.

Stay safe and well,

Craig

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP YOUR REPAYMENTS ON YOUR MORTGAGE.

Protection and Insurance news

Tue, 14 Apr 2020 15:02:07 GMT

Protection blog

These are challenging times for us all and we are all being affected in many different ways. We also understand how stressful and concerned some of you may be feeling at the moment.

Firstly I hope that you and those close to you are healthy and safe. Times like these are a stark reminder of what is most important and taking care of the well-being of our families and our community is our shared and first priority.

Also, as a protection client, I want to assure you that, providing you have paid your monthly premiums with your insurer, the cover we arranged remains in place and the terms of it are unaffected by the Coronavirus outbreak.

The insurers we recommend are some of the very best in the market and whilst they are no doubt facing significant operational challenges, I know they will be doing their utmost to support clients.

The insurers we recommend are some of the very best in the market, doing their upmost to support clients.

We are already seeing insurers are changing their products and underwriting stances in response to the Coronavirus, which will impact on anyone seeking to purchase protection, so whatever you do, keep your existing plan(s) in place! But, if you believe your plan is no longer right for you, please speak to us before taking any action.

If you have missed any payments or cancelled a policy in the last few weeks, give us a call, and we’ll do what we can to get you financially protected again.

Support Services

Most of the insurers I recommend offer some valuable support services that often get forgotten about. I’ve listed some below, which may be useful to you. Clearly, the services provided differ between insurers and from one plan to another, so please do refer to your policy documentation to confirm exactly what is available to you. If you are unsure I’ll be happy to help.

Aviva: Bupa Anytime Healthline – giving clients the opportunity to speak to a Bupa nurse.
Guardian: GP24/7 – this feature gives policy holders GP consultation from their phone, tablet or PC.
Legal & General: GP24 –a chargeable option that may have been added when setting up a policy which gives access to a GP over the phone or via a webcam
LV – Doctor Services provided by SquareHealth, giving clients the ability to book an online appointment up to 5 times a year.
MetLife: The MultiProtect policy (since February 2018) allows immediate 24 hour access to MetLife’s Wellbeing Support Centre - to get support on physical, mental and financial wellbeing.
The Exeter: Offers members their Healthwise App to book phone or video GP consultations, meaning they don’t have to leave home.
Vitality: GP access via telephone for all clients, including health and protection.
Zurich: Support Services package offers free and confidential health and wellbeing advice, allowing clients access to a counselling service to discuss a wide range of issues for peace of mind.

I’d stress that if you are concerned about, or have symptoms relating to Coronavirus, you should contact the NHS online to ensure up to date guidance by going to the NHS Covid-19 news web page .

Making a Claim

All of our protection providers have published Coronavirus guidance on their websites. We recommend that you read the guidance for your particular insurer so you are clear on their position given the current circumstances.

If you do want more information or are unfortunate enough to need to make a claim, the links and contact details below may save you time:

Stay safe and well.

Reviewing your mortgage deal could save you money

Tue, 14 Apr 2020 14:34:07 GMT

Mortgage News

In March 2020 the Bank of England cut the base rate to 0.1%. Broadly speaking a lower base rate is good news for borrowers, there is no better time to consider remortgaging.

Impact on your current mortgage

If you have a tracker or discount mortgage your payments may have gone down recently. With uncertain economic times ahead though, it may be worth considering a fixed rate mortgage to give you the stability of fixing your monthly mortgage payments.

If you are on your lenders Standard Variable Rate (SVR) because your most recent deal has ended or if your current deal is coming to an end in the next few months you could end up paying a higher rate. It can pay to remortgage.

If you have a fixed rate mortgage you are temporarily protected from the impacts of the uncertain economy. But if you are coming to the end of your deal you may want to review and remortgage or switch to a cheaper deal with your current lender and guard against any future increases in mortgage rates and the cost of borrowing. We are happy to help you with this and even if your current mortgage deal doesn’t end just yet it still could be worth us having a look.

It’s important to regularly review your mortgage, as it can often make sense to transfer to a new deal - or even a different lender. Your decision to transfer will of course depend on your individual circumstances, and the current rate you are paying.

How we can help

As a trusted firm of Advisers, we’re keen to ensure your mortgage deal continues to meet your changing needs. As a member of Openwork, one of the largest financial advice networks in the UK, we have access to a comprehensive range of mortgages from across the market. That means we can offer you advice on a vast range of mortgages from a host of lenders and some of the deals I have access to are on an exclusive basis and aren’t available outside of Openwork.

If you would like to discuss your mortgage arrangements, you can contact any one of us on our meet the team page, where you can call , email and whatsapp myself, or one of my advisers to arrange an appointment in a way that is suitable to your current needs.

Take Care and Stay Safe

Craig