Benefits of a Mortgage Credit Deal
First rung of the property ladder. Without access to Mortgage Credit deals, many first-time buyers wouldn't be able to get on the property ladder. This would mean that renting a house is the only option for a minimum of six years when bad credit no longer shows on personal credit reports;
Long term capital growth. According to Land Registry figures available since 1975, properties have doubled in value every seven years. Renting a house would mean that the only beneficiary from substantial long term capital growth is the landlord;
Greater personal freedom. Renting a house means that a tenant has limitations imposed in terms of what can be done. This means that keeping family pets and performing home improvements isn't always possible. Buying a house with the assistance of a Mortgage Credit deal provides greater personal freedom;
Credit repair. Whilst a Mortgage Credit will mean that monthly mortgage repayments are higher than renting a house, this will change after 3 years. Provided that repayments are made punctually, this can help repair credit and eventually get someone a standard mortgage deal;
Different mortgage deals. Whilst there aren't as many Mortgage Credit deals, there are still an excellent selection. This enables a first-time buyer to decide whether they want an interest-only mortgage or repayment mortgage. Individuals with adverse credit can also decide whether they want a tracker, fixed-rate or discounted mortgage.
|