Helping our customer keep their existing mortgage and move house in Farnborough
Our recent experience with a couple based in Farnborough stands as a testament to our commitment to finding personalised mortgage solutions. This case study shows the complexities they faced and the strategic approach we adopted to transform their aspiration of owning a dream home into reality.
Customer Profile
The couple, both in their 40s, represented the hardworking sectors of education and healthcare. As a teacher and a nurse, they had established a stable financial foundation, owning a property and maintaining an impressive credit record. However, they were also juggling minor personal loans and a credit card debt, which added layers to their financial profile.
The Challenge
Their dream was to move to a detached house in Farnborough, valued at a substantial £655,000. To achieve this, they needed to upscale their mortgage borrowing from £337,308 to £500,000 over a 30-year term. The critical aspect of their requirement was to port their existing mortgage with NatWest while evading significant penalty fees. The situation was further complicated by their need for a new mortgage product with a fixed term not exceeding two years.
Find out Your Options
Our Tailored Solution
Recognising the advantageous aspects of their existing NatWest mortgage, particularly its low-interest rate, we suggested porting their current mortgage, allowing them to evade early redemption charges and benefit from the existing low rate.
We proposed specific measures:
- Porting the Existing Mortgage: This was a strategic move to leverage the sub-3% rate, sidestepping early redemption penalties, which could have been financially draining.
- Two-Year Fixed Rate for the Additional Borrowing: This provided them with a stable payment plan for the initial years, coupled with the flexibility to reassess their situation as market conditions evolved.
- 30-Year Mortgage Term: Tailored to align with their long-term financial goals and retirement plans, this term offered manageable monthly payments. We also structured it to permit overpayments, offering them the flexibility to shorten the term and reduce total interest costs when financially feasible.
The Result
We managed to secure a mortgage that not only met but exceeded their expectations. The couple expressed immense satisfaction with our service. Their journey to settling into their dream home in Farnborough was smooth and free from financial strain.
Conclusion
This case illustrates our expertise in handling residential scenarios with a client-centric approach. For individuals or couples grappling with unique mortgage challenges, particularly when moving homes, Kerr & Watson is equipped to provide bespoke solutions that align with your financial landscape and future aspirations.
Talk to us today and explore how we can facilitate your journey to your dream home.
