|
|
|
|
High Loan To Value Mortgages
A large number of High loan to Value mortgages are available these days, some lenders charge a fee for this.
What is meant by Loan to Value (LTV)?
This is normally the amount of the loan compared to a property's valuation and shown as a percentage (see examples below). For loans made at the time of the purchase or soon afterwards the loan may be compared to the purchase price if it is lower than the valuation of the property.
The fee is not refundable, for example, on early redemption of the mortgage or in the event of a repayment of capital being made to reduce the LTV.
How do I pay the HLTV Fee?
The fee is payable in a lump sum and will normally be added onto your loan, spreading the cost of it over the term of your mortgage. However, if you wish, you can pay the whole fee either before or just after completion of your mortgage and the total loan will then be reduced by the amount of the fee.
The maximum we will normally lend is 100% LTV including the fee, but please see the Mortgage Interest Rate section for lower limits that may apply.
Your mortgage or additional loan offer will confirm the loan amount, inclusive of any HLTV fee. The HLTV fee will not form part of the loan amount released to you, as this will be retained on completion. If you are purchasing the property, you should arrange to pay any balance required, including legal costs, to your solicitor or licenced conveyancer.
|
|
|
|
|
