Guest Post, Personal Finance

How To Go About Finding The Best Mortgage

By Avery Bale

There are many ways to find a mortgage. If you have the right financial foundation, and are credit worthy, you will probably have more choices than you can handle. How do you sort through all these choices? There are a few ways..

What is your tolerance for risk?

There are many different types of mortgages. The two we’ll cover here (there are a lot more) are variable and fixed. Variable changes with the rate set by wider financial institutions. Fixed is what it sounds like, it’s fixed so that the rate stays the same throughout the life of the mortgage. Variable rates often start lower than fixed rates, but there is always a chance they will increase to be higher during the term of the mortgage. So depending on your tolerance for risk, you should decide on which to go for.

What about the numbers?

Once you decide on the type of mortgage you feel comfortable taking you need to look at the world of mortgages, which is truly vast.

Why taking a break is also a good idea

Many people think about finding a house first. However, that leaves you in a bind if you find a house and can’t get he most favorable mortgage. It might be best to sort out with a lender a favorable mortgage in advance, then you can keep them informed about the kind of prices you will be bidding etc and then have more security for when you do find that dream home. Taking a break once you have found a good lender and mortgage means you get some perspective and will feel less rushed and stressed, and most importantly, you won’t rush into making fast choices and bad financial decisions.

Recent figures

The council of mortgage lenders has estimated that mortgage lending into the 3rd quarter was

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