Estate Agent Cooperatives

Option 2 Mortgages?: /b>Think about What type and Where to source:

Maximize your savings interest:: If you take a straight fixed- or variable-rate mortgage, agree on a minimum repayment schedule through the year and set up a savings account whereby YOU can benefit from the interest. Then pay off any extra to reduce the capital outstanding at the END of the lenders financial year, eg 30 September. Then when the interest is calculated on the first day of the new year (1 October in this example) the amount outstanding is lower than if you had merely paid the agreed repayments, yet you get to profit from the savings interest otherwise denied you.

An alternative to this arrangement is if you can afford to pay off more than the agreed repayment from time to time, consider a flexible mortgage, whereby the amount outstanding is directly reduced, saving interest payments and reducing the term./p>