Introduction to mortgages

Mortgages are just like loans really

Mortgages are just like loans really, where you are borrowing money from an institution over a certain amount of years (usually around 25 for mortgages) paying back a monthly sum of capital with interest on top (repayment mortgage), until you have paid off the full amount and then you own the property outright, unless you have an interest only mortgage, which are becoming less widely used now, where you pay back the interest only monthly which means your monthly repayments are less but you will need to repay back all the remaining capital at the end of the term of the mortgage in one go.

Mortgages are used to purchase properties. You can also re mortgage your property, meaning borrow more money against the value of your property, making your monthly repayments larger but you would have money to use for other things like home improvements etc.

In order to get a mortgage you normally need to have around 10% of the value of a property at least to put down as a deposit, the more money you put into the deposit, the less mortgage you need to take out and therefore making your monthly repayments less.

Mortgages will be determined based on your credit rating and how much you earn in your current job, they need to make sure that you are able to repay the monthly instalments comfortably over the time you have the mortgage out for.

These days you can go onto price comparison sites to find good deals and a mortgage that is right for you – whether it be a fixed or variable rate mortgage. Fixed rate mortgages can work out better initially, with a fixed rate you will know exactly what you will be paying monthly for either 2,3 or 5 years usually, whereas with a variable rate mortgage, should the interest rates go up, your monthly repayments would also go up – however if they went down, you would also benefit there…

ixed rates usually only last a small number of years in comparison to the whole mortgage though anyway but good for the initial repayments, especially in times where do not know what will happen with the economy, can be best to take this option.

Our courses

Our courses will offer a specialist talks from those who are in the mortgage industry as well as from our trained experts that work for Pera training, who are also sent on regular training courses to keep up to date with all that is going on financially and with regard to mortgages.

This course would suit those taking Economics, Maths or similar, looking to get into the finance or mortgage sector as a career.

You do not necessarily have to be taking anything related to the subject, you just need to have an interest in these sectors and as these are basic introduction courses, this could help you make the decision about whether you think this is what you want to do when you graduate or not.

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