In Scotland, mortgages are available easily through numerous lenders which, sometimes make it difficult for the people to choose the most advantageous mortgage deal. In Scotland, mortgages, home buying and re mortgages do not work in the same way as in the rest of United Kingdom.
The increasing competition in the mortgage market has an adverse effect. It is getting very difficult as well as time consuming for the people to choose the right mortgages. The cheapest mortgage in the market is not essentially the best value mortgage always.
The mortgage rates may vary from one lender to another and so are the lending amount, redemption penalties on some loans and the tie-in periods.
Several building societies and banks are used to pay, partly or fully, the cost of the survey, arrangement and legal fees required in a re mortgage or mortgage. Classification:
In Scotland, several types of re mortgage and mortgage products are available. These are, standard variable rate mortgages, flexible mortgages, mortgages offering upto 125% of the property value, discounted mortgages, fixed rate mortgages and self-certification mortgages to name a few.
Another type of mortgage is adverse credit mortgage. It is for those people who have some definite credit problems, for example, bad debts, decrees, trust deeds, late repayments of loans and credit cards etc, or have been denied a mortgage in the recent past.
The Mortgage Rights: The Mortgage Rights Bill was introduced by the Parliament of Scotland in 2001. It received the Royal Assent on the 25th of July 2001. The mortgage act had been made effective from 3rd December 2001.
This act gave some new rights to the citizens so that they could buy home easily.
Last Updated on : 24th August 2013