Mortgages  

Q: How should you compare mortgage products?

Brad Fordham, head of sales at Abbey for Intermediaries, said: “The product with the lowest headline rate will not always be the best product for a client.

“When comparing mortgage products, intermediaries should also look at the reversion rate of the products available to the client.”

Stephen Smith, director of housing at Legal & General, said it was vital for an adviser to listen to their customer and understand their individual circumstances and preferences, for example, term and fixed or tracker.

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He said an initial source would show a league table based on rate after applying initial filters such as “no extended early redemption charges”.

It is then possible to sort by total to pay, which will take account of rate, fees, how interest is calculated and any cashback.

Mr Smith said: “Some products may need to be looked at and considered separately, for example, hybrid products that start as a tracker and revert to a fixed rate after a period of time.”