Considering a Flexible Mortgage
Many people would want to break free from their mortgage as early as possible because having no financial obligations will offer peace of mind later on in their lives. This is where flexible mortgage comes into picture.
With flexible mortgage, you have the option to get rid of your obligation early on by making overpayments every month. Unlike the traditional fixed mortgage where your monthly due is the same for the whole duration, a flexible mortgage will allow you to decie how much you will pay. You can either pay the interest alone or provide more than the normal monthly due. When you make overpayments, you will be able to get rid of your mortgage earlier; thus, saving you more money because you do not have to incur interest expenses. Through a flexible mortgage, you will also have the option to borrow back certain amounts that you have made through overpayments in the previous months. Furthermore, you can have a “payment holiday,” in which you can halt the repayments for a certain period of time.
Most mortgage companies offer fully flexible terms. However, there are also other mortgage deals that only have certain features of a flexible mortgage. Care must be taken when taking advantage of flexible mortgage deals since they are not really for everyone. But as long as you are determined to make overpayments faithfully, having flexible mortgage will not be a hassle.