Mortgage planning mortgage planning

As Independent Financial Advisors we are in touch with the changes and developments of mortgage products every day. House buyers and homeowners will typically revisit their mortgage needs as they come to the end of their current term (2 years or 5 years if on a fixed rate mortgage).

The information we provide on this page and throughout our website is intended only as guidance to help you identify your options and narrow down your choices. For advice on your specific circumstances we recommend you contact us – call 02380 920128 or email [email protected].


Why mortgage planning is important

Buying a property is, for many, the biggest purchase they will ever make. It is a significant commitment with the typical mortgage term in the UK being 25 years.

It is important from the outset that you find a mortgage which meets your circumstances, needs and is affordable for your finances. This is especially important given mortgage rates fluctuate in line with market conditions and changes in the UK economy.

Keeping up with your mortgage repayments is extremely important. Failure to do so can damage your credit rating and your home could be at risk of repossession from your lender.

You may prefer the security of a fixed rate mortgage and knowing exactly what your monthly repayments will be for that term. Or you may be comfortable with a variable rate mortgage; benefiting when interest rates are extremely low but at risk of high interest rates significantly increasing your repayments.

Once you have paid off your mortgage, your home is likely to be your biggest asset. It’s your cash but it’s tied up in your property. Equity release allows you to extract cash from the property without needing to sell it. There are many reasons why you may look to release equity; you want to clear other debt, fund a long-term holiday post retirement, or possibly fund long-term care. Whatever your reason for doing so, planning for it will help you to get the most from it.


The benefits of mortgage planning with an Independent Financial Adviser

When it comes to researching the right mortgage for you, an independent financial adviser is a key source of guidance and advice. Being independent advisers, they can compare mortgage products from the whole market of providers; with the exception of special direct offers from lenders.

For example, if you spoke to a mortgage adviser from your bank, they can only compare and offer the mortgage products which they have, and this may not necessarily be the best you could get on the open market.

An independent financial adviser can also take into consideration other areas of financial planning which could influence your choice of mortgage, such as pension planning or estate planning.


Equity Release

Equity Release is a way of releasing cash (equity) from your home whilst you still live in it. The most popular form of equity release is called a lifetime mortgage which is a loan secured on your home.

Such mortgages are available to homeowners aged 55 or over and you can take a lump sum all in one go, a series of lump sums when it suits you or a regular income with no repayments required until you die or move out of your home into long term care.

Looking at your options together with an independent adviser will allow you to benefit from their knowledge and experience.

An Equity Release plan may carry Early Repayment Charges for a number of years.

If interest is rolled up it is added to the loan and compounded annually.

The mortgage may be portable to another property without penalty.

Taking an Equity Release Loan will adversely affect your beneficiaries and in some cases there may not be any residual value to transfer to them as an inheritance.


Why choose HJS Financial Planning for your mortgage planning?

At HJS Financial Planning we pride ourselves on putting you, the client, first. As independent financial advisers our recommendations to you are based on an evaluation of the whole market, not a limited number of providers. We are not directing you to any particular provider because of what’s in it for us.

A mortgage is a significant financial commitment – it’s more than simply working out what you can afford each month. It needs to work alongside your other financial goals and personal aspirations. Our approach is always to look at your finances holistically, and this is why we have many long-standing relationships with our clients.

Our team assist clients with their mortgage needs every day – this means you benefit from our in-depth knowledge and experience of what is happening in the market today and how this could influence your choice of mortgage.

To find out more about us and how we can help you call us today on 02380 920128.


Your home is at risk if you do not keep up repayments on a mortgage or other loan secured on it.

HJS Financial Planning is authorised and regulated by the Financial Conduct Authority no. 755721. The guidance and/or advice contained in this website is subject to the UK regulatory regime and is therefore restricted to consumers based in the UK.