Discount Rate

A discount rate is a type of variable rate mortgage where the interest rate is set at a discount below a rate of interest, typically the lender’s Standard Variable Rate (SVR) for an initial period of time, typically two or three years.

The obvious benefit here is that the rate is lower, so your repayments will be cheaper. However, if interest rates rise, you can expect your repayments to increase too. You also need to be aware that lenders have differing SVRs, so you may need help in working out which discount deal is most suitable and the most cost-effective option for you.

Mortgage Repayment Calculator

Capped Rate

A type of variable rate mortgage, but these have an interest rate ceiling, or cap, beyond which your payments can’t rise.

The interest rate is often higher than that available on other variable and fixed rate mortgages and the cap can be set quite high. However, it provides the certainty that your payments will not rise above a certain level.

A capped rate is normally only available for an introductory period, which can typically be from two to five years.

This type of mortgage may also have a minimum rate of interest that the lender will charge for a specified period. This is referred to as a ‘collar’.

Cashback Mortgage

This mortgage comes with a cash sum that’s paid to you once your purchase or remortgage has been completed and your mortgage is in place.

The amount you receive is normally expressed as a percentage of the amount you have borrowed, although it can be a fixed amount. It’s important to be aware that this type of mortgage may not be offered at a competitive rate and might mean that you’ll be paying higher monthly payments as a result.

Income Calculator

Why use Miles Rhodes

You’re protected

An important thing to understand is that when you receive mortgage advice, Miles Rhodes has a duty of care to you. We will recommend a suitable mortgage and be able to justify why the particular mortgage we have chosen is right for you.

In contrast, if you go directly to a high street mortgage lender, don’t take advice, and end up with a mortgage that later becomes unaffordable, you may not have so much legal recourse.

All our mortgage advisers are qualified

There’s an awful lot to think about when choosing the right mortgage. It’s not as simple as just opting for the cheapest fixed or tracker rate mortgage you can find!

Mortgage advisers have to be qualified to give you mortgage advice, whereas you may not get that kind of guarantee if you ring up a lender’s call centre.

We are on your side

Miles Rhodes will look for the best mortgage for you. We aren’t on the lender’s side, we are on yours, and we give you access to far more products than if you went direct.

You will get unbiased advice and will be able to choose from a range of lenders and subsequent products, rather than being restricted to the single range of the lender you go to.

 

We know the industry

Mortgage criteria has tightened massively over the last few years, with the Mortgage Market Review being the latest, and arguably widest-ranging, development.

It’s been designed to ensure borrowers can prove affordability, even in the event of a rate rise, and those extra checks have understandably increased application times.

Our Reviews

annamarie steer
8 months ago
Matthew is exceptional at his job! We took our first buy to let mortgage out with him and i wouldn’t go anywhere else. When renewal time is coming up, he is always in contact with me before i even think about it, and with the read more
Frances
1 day ago
I can’t believe how fortunate i am to have been recommended to contact kerry miller from mile rhodes in respect of obtaining a retirement mortgage. Our case has not been straight forward from the onset for many difficult and emotional reasons and causes. Kerry has read more
Mary Hayden
1 day ago
Kerry miller was our mortgage advisor and we couldn’t have asked for better. Always approachable and kept us informed throughout the process. Kerry was very patient and knowledgeable answering all our question, going the extra mile to ensure the best possible outcome. I highly recommend read more
Matthew Begg
6 months ago
I can highly recommend dave bates and miles rhodes. Dave has been advising us on mortgages and insurance for around 15 years and has always been extremely helpful.
Consumer
5 months ago
I contacted nicky once i asked on social media for a recommendation for an experienced mortgage advisor and nicky’s name kept getting recommended. I am so happy i went with nicky, from start to finish nicky was amazing how she handled everything. She is 100% on read more
Mr Jackson
2 months ago
Kevin mitchell has dealt with our mortgages for over 20 years, he always gets us a good deal and explains the whole process and keeps us informed. We would highly recommend him and miles rhodes.

Want to know more?

To find out more or arrange a meeting with us, please call
01362 423042, or email contact@milesrhodes.net

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