Brexit. It seems to be all be all we hear about these days. For homeowners, though, it could have particular significance – we’ve lined up some facts, advice and FAQs from the experts to try and help you steer a steady course through the murky obstacles of an increasingly likely No Deal Brexit in our ‘Top Tips For A Happy Brexit Mortgage’ article.
Top Tip No 1: Take it from our chosen mortgage experts, you should check to see what is on offer before jumping into a fixed rate mortgage. You never know, you may find a better deal.
Top Tip No 2: Most people who have been keeping up with politics are waiting to see whether we will be leaving with a deal or not. In fact, not many people know exactly what a no deal Brexit even means. This is why it is pointless putting your life on hold while waiting for the unknown to happen. If you are looking for a mortgage, whether you are a first time buyer or someone looking for a better deal, you shouldn’t leave it till after the 31st of October as if you act now you can get clarity and help with your future plans.
Top Tip No 3: Speaking of not delaying, recent price drops in certain regions mean that there are some really good deals going right now in the house market. When buying property it should be a long-term investment so even if after the 31st of October there is a price drop in the market it should eventually stabilise and then begin to rise meaning you may get a better deal than anticipated.
Top Tip No 4: The type of mortgage you decide on shouldn’t be dictated by fears for Brexit. Yes, at the moment mortgage rates are extremely low and many buyers will want to go for a low rate to give themselves a sense of security as the country moves throughout this period of uncertainty. This doesn’t mean you should jump straight into a fixed rate without considering alternatives as there are plenty of flexible products that would mean that your options to remortgage are open if the rates do start to change. If you have a mortgage advisor they should be telling you all about the products on the market currently and not just the products you may need for protection if Brexit does go sour.
Top Tip No 5: There is no doubt that Brexit is an important topic of discussion with your mortgage advisor, but to be quite honest the immediate and ultimate effects on the British economy are still completely unknown and we will only find out when we cross that bridge. Even your mortgage advisor doesn’t have all the answers but they will be able to explain the options available to you.
Top Tip No 6: If you have already started a mortgage application or are intending on finishing it before the 31st of October then don’t panic and definitely do not withdraw your application even if no deal Brexit is the most likely scenario. As long as your personal circumstances do not change your application shouldn’t be affected by a no deal Brexit.
Top Tip No 7: Contrary to popular belief, you won’t necessarily be paying more for your mortgage under Brexit even if no deal goes ahead. This doesn’t mean you shouldn’t seek advice from your mortgage advisor however as they will be able to reassure you and offer advice on a potential remortgage to a better deal.
Top Tip No 8: Keep calm and carry on. The value of your home is not definitely going to crash because of Brexit and it is much more likely that there will be an initial period of uncertainty before the market’s settle and start to pick up again.
Top Tip No 9: At this moment in time there is no concrete evidence of what may happen after Brexit. Do not get caught up in the speculation as it may sway you from the actual facts and could cause you to make a rash decision or overstretch your budget. You should refrain from making major changes as the chances are that everyone will come out of this crisis okay.
Top Tip No 10: If you still have doubts about Brexit then you should speak to a mortgage advisor who can help to assess you and your current financial circumstances as well as the UK mortgage market as a whole. They will then be able to advise you on exactly what you need to do and any actions that you may need to take.
So there we have it. A ‘Don’t Panic, it will all be okay in the End. Probably.’ guide to Brexit and your mortgage. We hope you found it useful and if so, perhaps you could share it across your social media for others to find and appreciate?!
Many thanks. And have a Very Happy Brexit.