This is unless they have a very comfortable affordability and very secure jobs (if they still exist) and they have a good sick pay scheme or can take out short- or long-term income protection.
Many do have a desire to repay in 25 years or less, but committing to a repayment that they think will be possible without experiencing the realities of setting up in their first home, taking a longer term and lower mandatory repayments will give them some leeway in case of income reductions, sickness and maternity leave.
Most borrowers would not be restrained by a 5 per cent or 10 per cent annual overpayment allowance during tie-in period.
Philip Robinson
Northeast Mortgage Solutions
Chester Le Street
Sunderland
