Our unrestricted network of over 500 high street mortgage lenders, challenger banks, private banks and specialist lenders allows us to explore a range of different options to find the best mortgage deal for you.
Whilst your typical high street lender may be able to offer you a mortgage over £1 million, they may not always have the ability to provide more complex and bespoke solutions to your high-value mortgage needs.
Private banks and specialist mortgage lenders will bring a different perspective to the conversation and might offer financial opportunities that would otherwise not be available to you.
As with many ‘standard’ mortgages, you may be offered a special rate deal over a short term on your high-value mortgage. The different types of deals that many lenders offer are, fixed, discounted, tracker, capped and base rate linked deals. Some mortgage lenders will offer other deals, but these are the most common deals.
Special rate mortgage deals can last for 2 years, 3 years, 5 years and in some cases a lot longer with certain banks. This mainly comes down to your personal circumstances and what your short, medium and long-term financial objectives are.
Obviously, if you’re paying large amounts of interest on your mortgage, the deal you take will make a considerable difference to the amount being paid.
As with any type of mortgage loan, interest rates will vary with each lender. Typically, high-street lenders will offer their ‘standard’ rates, but their fees, loan to value and maximum loan values will differ.
Private banks and specialist mortgage lenders will deliver bespoke pricing and terms which can be discussed to suit your circumstances. In some instances, with assets under management, rates may be offered between 1.5-2.5% but those with more complex cases and without assets under management could pay more.
Private banks offer bespoke deals to each of their clients. Unlike the high street lenders, private banks don’t have strict income multiples that they need to follow. The banks will assess the client’s overall assets and liabilities and evaluate what the most appropriate mortgage deal would be that they could offer.
Some private banks will require you to put some assets under their management (AUM) requiring you to invest in their stocks and shares portfolios rather than elsewhere. Some lenders have a minimum amount that can be placed with them (usually around £1 million); others will use a percentage of the loan amount. This can be negotiated.
Having AUM with a private bank is beneficial to both yourself and the lender. For the lender it allows them to have control over some funds if the mortgage were to fail. It can be beneficial to you as having AUM can lower the interest rates as well as unlock other benefits.
Some lenders do not require you to have assets under management and are happy to lend to you without anything in return (Dry lending). In most cases, however, this will result in higher rates.
In most cases, mortgage lenders will allow you to make overpayments of up to 10% of the outstanding loan amount without incurring any penalties. You can work out how making mortgage overpayments each month can reduce your mortgage term using our over repayment calculator.
We work with our clients in Nottingham and the East Midlands to understand their unique circumstances and find bespoke solutions to get the best deals on the market.
If you are looking for high-value finance and would like to discuss your mortgage with us; get in touch with our advisers to arrange an initial consultation.