Flexible Mortgage

A Flexible mortgage, as its name describes, offers flexibility in regards to how you pay your mortgage.

Flexible mortgage repayments
A Flexible mortgage allows you to make overpayments or underpayments to your mortgage, giving you greater control of your financial outgoings.

Benefit from overpayments
Making overpayments to your mortgage allows you to pay back your mortgage earlier and reduces the amount of interest that you’re paying on the total amount you have borrowed.  Possibly the best reason to opt for a Flexible mortgage, this could potentially save you thousands of pounds over the term of the mortgage.

Underpay or take a break
Underpayments can be equally useful and are especially beneficial for those with a variable income, such as the self employed or people who work on commission.  

If things get really tough, it may be possible to take a break from repayments altogether.  Most Flexible mortgage providers will offer a short break of between 3 to 12 months where you can pay nothing.

What are the drawbacks?
This flexibility may come at a cost with lenders often charging a higher rate of interest for maximum flexibility. 

Read the small print
As always, it’s important to be aware of the terms and conditions when you sign up to a Flexible mortgage.  A true Flexible mortgage should allow you to leave it without paying an early repayment charge, but this may not always be the case. 

Always seek the advice of a professional financial advisor.