Standard Variable Rate Mortgages

About standard variable rate mortgages

Standard variable rate mortgages use the bank of England base rate as a foundation for the calculation to apply interest to the initial loan. The lender applies a percentage point increase to the Bank of England base rate and it is this rate which is applied to the amount borrowed. The standard variable rate is not guaranteed to rise and fall by the same rate that the Bank of England base rate changes by. Indeed, the timeframe for any changes applied varies from lender to lender. As a result of this, the payments can increase and decrease with fluctuations in Bank of England base rate.

Standard variable rate mortgage advice

The Financial Services Authority suggests that before you consider taking out a long term financial product such as a standard variable rate mortgage that you may wish to consult a mortgage broker. Our fully independent financial advisers have a great deal of experience of working with clients to research the standard variable rate mortgage market and find a product that is right for them. We offer all of those considering their options in relation to standard variable rate mortgages, the opportunity to discuss their situation with one of our independent mortgage brokers. To arrange your free consultation please click the following link > Mortgage broker consultation.