Buying a home is a dream come true for most people. Unfortunately, homes are expensive and hard to finance without external help. This is why a large percentage of home purchases in the United Kingdom are completed with the help of mortgages from financial institutions like banks. One of the banks that is considered a market leader of residential mortgages in the country is the Halifax Bank and Building Society. The reason most people call the Halifax bank number when they need a residential mortgage is that the bank’s services are top-notch and that it also offers a variety of options to choose from.
The Halifax Bank Number for Mortgage Information and Applications
The fact that there are so many options to choose from also happens to be a problem for people who have no experience with residential mortgages. What these numerous options do is that they make it very difficult for the individual to choose the option that is most suitable for his or her situation. If you are such an individual then by learning more about how to choose residential mortgages will help you greatly when you call the customer service contact number to start the process. Consider the following:
Types of Mortgage Models
There are essentially two types of mortgage models that are prevalent in the country. The most common is the repayment model wherein the borrower i.e. you will pay off the whole loan plus the interest incurred by way of monthly payments. The alternate route is to go for the interest only model where you pay only the interest on the mortgage every month. Interest only model borrowers need to make sure that they pay off the loan at a later date in a lump sum manner. While the monthly payments in interest only mortgages are smaller, these types of loans are riskier because there is more uncertainty. This is why you should make sure that you discuss the terms and conditions of the mortgage model in detail with the company representative behind the Halifax bank number before making the final choice.
Types of Interest Rate Models
In fixed rate mortgages, the interest rate remains the same throughout the duration of the mortgage while in tracker rate mortgages, the interest rate levied on the borrowed sum changes on the basis of the interest rate of the Bank of England. Both these models have their benefits and your final choice would depend upon your risk appetite and any specific details that you find out by calling the telephone number. Contact Halifax Mortgages for further information.
Duration of the Mortgage
You will also have to decide how long your mortgage will be for. The right balance is important here because while shorter durations allow the mortgage to be paid off quickly they also mean larger premiums. Similarly, while larger durations may mean that the mortgage monthly premiums are easier to handle, this also means that you will be paying more money and for a longer period. Halifax customer care executives are trained to help customers make this choice and do so regularly for many customers calling on the Halifax bank number. You should also know that terms and conditions of most mortgage products will allow you to call the Halifax contact number and change the term of the mortgage in the future as well.
Fees vs. Initial Mortgage Rate
Most mortgage instruments are accompanied by a onetime product fee or a mortgage fee. This fee has an inversely proportional relationship with the interest rate on the borrowed sum of money. Effectively, you will have the option to pay a higher fee to get lower mortgage interest rates or increase your interest rates if you do not have enough money to pay a large upfront product fee. People who man the Halifax customer service number usually have enough experience with such dilemmas to help borrowers come to a wise and balanced decision.
Assessment Criteria of Mortgage Applications
If you are planning to contact the Halifax mortgage department and apply for residential mortgages then you should get a fair idea of how applications for residential mortgages are evaluated by the bank. Having this knowledge will allow you to make sure that you meet the criteria for your application to be approved. There numerous elements that are considered for approving or rejecting an application.
- Income: Your income must be enough to pay off the monthly premiums of the residential mortgage.
- Credit score: Your credit profile defines whether the bank considers you a risky or safe investment. This is why your credit score will be assessed.
- Deposit source: You will be paying a certain amount of deposit towards the residential property. The bank will want to know and analyse the source of that deposit.
- Age: Whatever the age criteria of your chosen mortgage option are, they will have to be met as well.
- Job: The employment status of people plays a major role in how residential mortgages terms are created. Therefore, the nature of your employment will be analysed.
- Property type: The bank will also evaluate the type of property you are going for and whether it is suitable for your purposes or not.
- Property price: The bank will consider the price of the property in terms of whether it fits the actual value of the property or not.
Other Things to Ask About when Calling the Halifax Phone Number
While you are enquiring about the application process for residential mortgages from the support personnel behind the contact phone number, there are a few other things that you should make sure to ask. Here is a list of these things.
- You should find out if any special bonuses or discounts are being offered as this may lead to you spending less money from your pocket.
- You should also look for additional features that may improve your experience and financial clout.
- You may have to arrange professional valuation of the property for the bank’s purposes. Thus, you should ask how they handle this aspect of residential mortgages and whether they prefer some particular survey providers.
You can call this non-0845 customer services number for any other enquiries, questions or complaints safe in the knowledge that it won’t cost you the earth.