As a major UK mortgage provider, you will likely have heard of the Abbey mortgages range. If you are presently looking to apply for a mortgage, this page is designed to explain what you can expect from an a mortgage with the Abbey Bank.
About Abbey Mortgages
No matter what your circumstances, Abbey mortgages are designed with everybody in mind. Currently you could benefit from:
- Abbey Tracker Mortgages
- Abbey Flexible Mortgages
- Abbey Buy to Let Mortgages
- Abbey Fixed Rate Mortgages
The above are the main types of mortgages offered by Abbey and each is targetted to the differing requirements of potential borrowers, as discussed below.
Abbey Tracker Mortgages
Tracker mortgages follow the Bank of England base rate for a set time period. Once that time has passed you then pay the Abbey standard variable rate. If the interest rates fall, then so does your mortgage and vice versa if they rise. Abbey’s tracker mortgage comes with the benefit that you could end up paying back less than your initial agreement. Of course, you will be relying upon the interest rate falling and so there is a risk that you could end up paying more if the interest rises.
Abbey Flexible Mortgages
Flexible mortgages are unique in the fact that you can save monthly interest on your mortgage if you have savings. The more money that you have in a savings account, the less interest you will pay each month. So you can pay more when you can afford to and you can even take a payment holiday when you can’t afford it, just as long as you have money in the savings account.
Abbey’s Buy to Let Mortgages
Buy to let mortgages are ideal for property investors. If you are trying to make money by renting out a property then the Abbey buy to let mortgage could be for you. You could borrow up to 75% of the home’s value.
Abbey Fixed Rate Mortgages
Finally, fixed rate mortgages do tend to be the most popular type of mortgage that the bank offers. These offer you a fixed interest rate for a certain time period. Once this time period ends, the Abbey standard interest rate will kick in. Fixed mortgages come with the advantage that you know exactly what you are paying. Abbey’s fixed rate mortgages are fixed for up to two years so you can have a peace of mind for the first couple of years in your new home knowing exactly what it is that you are paying. You don’t have to worry about rising interest rates because no matter what they go up to, it will not affect fixed rate mortgages. You can also choose to overpay your mortgage up to 10% of your actual mortgage each year without incurring any fees.
The Benefits of Abbey Mortgage Products
There are a number of benefits that come with Abbey mortgages. In general, Abbey offer a wide range of mortgage options so no matter what your personal circumstances so they will more than likely have a mortgage to suit your needs. It also does not matter whether you are an existing Abbey customer or a new customer; you can still benefit from all of Abbey’s mortgage deals.
All Abbey mortgages offer you the possibility of choosing to overpay your mortgage by 10% each year. This can help you to bring forward your final repayment date or reduce your monthly interest payments.
Applying for an Abbey Mortgage
If you are a first-time buyer you may wish to contact Abbey direct for possible introductory offers and mortgage application advice. All those interested in applying for an Abbey mortgage can do so online or at any Abbey branch in the UK.