Online research of long-term fixed rate mortgages is quick and easy, according to Phil Cliff, director of mortgages for Santander for Intermediaries.
Useful consumer guides which go on to explain the various product options available can aid an adviser’s understanding of these deals, Mr Cliff says.
While sourcing systems and comparison sites will provide details of rates and fees, Ray Boulger, senior technical manager of John Charcol, says it is also important to understand product and criteria details.
These can be obtained from a lender’s web site, email updates from the lender or the business development manager.
For example, Mr Boulger says the level of early repayment charge (ERC) free overpayments allowed will be more important for some borrowers on a mortgage with long term ERCs than on a short-term deal.
The first requirement to make sure you can get the best long-term fixed rate for a client is to be a whole of market broker, according to Mr Boulger.
This is particularly important, he adds, if the product required is only offered by a small number of lenders, as is currently the case with long-term fixes.
After that, Mr Boulger says ensuring you recommend the best long-term fixed rate mortgage requires the same expertise and procedure as recommending the most suitable of any other sort of mortgage.
Thorough research of the market including best buy tables will help advisers make sure they are securing the best deals, agrees Mr Cliff.
He says: “Don’t forget that some lenders also offer lower mortgage rates on selected deals to their bank account customers, so it is always worth checking these offers out as well to see what’s available.”
