A discounted rate mortgage is a rate discounted from the Standard Variable Rate (SVR) set by the lender. The period offered may vary from 3 months up to 3 years. Once the discount is over, the rate will revert to the SVR.
Most mortgage lenders apply early repayment charge during the scheme period. For example: 2 years discount with a further one year at the Standard Variable Rate therefore an early repayment charge would apply for 3 years.
Discounted rate mortgage tend to suit individuals such as young professionals whom expect their incomes to increase. Professional such as trainee solicitors or trainee accountants suits a discounted rate mortgage. Speak to one of our mortgage brokers and they will advise the right deals based on your circumstances.
If you require advice on discounted rate mortgages, please speak to one our experienced advisers. We will go through your options regarding discounted rates and will search the whole mortgage market. Our office is based in Manchester.