A mortgage is a loan you take out from a mortgage lender to pay for a property. If you don’t pay back the loan as per the agreement you make then the mortgage lender can take possession of the property and sell it to repay the loan.

The loan is divided into Capital i.e. the amount of money you borrowed to buy your property and interest i.e. the amount the mortgage lender charges for lending you the money.

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It depends on the risk to the lender and is priced accordingly i.e. if you have had previous arrears you will pay a slightly higher rate than a customer who has not experienced any problems in the past. Likewise if you have no means to verify your income and you have to self certify, then the rate will be higher than someone who can supply 3 years accounts prepared by a chartered or certified accountant.

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All fees relating to the mortgage will be brought to your attention from the outset. Some lenders offer fee free deals which cost you nothing - or to get a cheaper overall deal you might have to pay for the valuation fees or a product booking fee. We will talk to you prior to submitting the application and take on board your preferences before recommending a product.

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If you are tied into a mortgage product we will liaise with the individual lender concerned on your behalf and transfer it to the next property. However it may be in your financial interests to pay the redemption penalty and take out a new product – we will work out the figures and find the best option for you.

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The actual answer is for as long as you, the customer, wants. Mortgage terms range form a minimum of 5 years to a maximum of 30 years. Traditionally the mortgage term is 25 years.

The reason why people would want a shorter term mortgage is that despite seeming to be more expensive i.e. monthly payments are higher each month, you would pay less interest over the length of the mortgage

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If you are employed the lender will ask for written evidence e.g. payslips or a P60 for the last two years.

They may write to your employer for verification. Some lenders may accept income that is not guaranteed e.g. commission or bonuses though you should be aware that this is an exception.

If you are self employed traditionally this was more difficult and as a result there are lenders who specialise in mortgages for the self employed. However nowadays many lenders should be interested in your business. You would need to show three years audited accounts, although if you haven’t been in business long enough then the lender should accept a letter of confirmation from your accountant.

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This is a conditional offer made by a mortgage lender that - provided the information you give them is correct - they will in principle give you the loan you have discussed with them.

It is useful to have an Agreement in Principle before you even start looking for a house to give you the edge over any competition. Having this means you should be able to get the actual mortgage quicker when the race to buy your chosen home begins.

Knowing what you can afford will help you narrow your search. You can get this offer in writing to show the estate agents and the sellers who will then see you as a serious prospect and not a timewaster.

To get the Mortgage in Principle you have to go through the same motions as an actual mortgage i.e. consider what type of mortgage you want and then find a mortgage lender you feel can offer you the best deal.

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Remortgaging is not about buying a new home but switching your mortgage to another deal to lower your repayment amounts and save money. It is of particular relevance if the property value of your home has risen.

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Any amount from £10,000 to £1,500,000 depending on how much you can afford to repay each month subject to the lenders criteria.

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