Unlocking Mortgage Value: The Power of Savings and Offset Mortgages
In the realm of mortgages, one strategy stands out for its potential to deliver substantial value: the combination of savings with offset mortgages. Here's how it works and why it could be the best choice for savvy borrowers in the UK:
Offset mortgages allow borrowers to link their savings and current accounts to their mortgage. The balance in these accounts offsets against the outstanding mortgage debt, reducing interest payable.
Every pound in savings acts as an overpayment towards the mortgage, cutting interest costs and accelerating repayment. Plus, borrowers retain full access to their savings, offering flexibility for withdrawals or additional deposits.
Savings offset against the mortgage debt don't generate taxable interest, resulting in potential tax savings, especially for higher-rate taxpayers.
With an offset mortgage, borrowers enjoy the security of savings while reducing mortgage interest costs, fast-tracking their journey towards mortgage-free homeownership.
While offset mortgages offer significant benefits, they may not suit everyone. Iwona, our mortgage expert is here to answer all your questions regarding mortgages. Please contact Iwona on iwona@haverfords.co.uk
Regulatory warning: Your home may be repossessed if you do not keep up with your mortgage repayments.
In the realm of mortgages, one strategy stands out for its potential to deliver substantial value: the combination of savings with offset mortgages. Here's how it works and why it could be the best choice for savvy borrowers in the UK:
Offset mortgages allow borrowers to link their savings and current accounts to their mortgage. The balance in these accounts offsets against the outstanding mortgage debt, reducing interest payable.
Every pound in savings acts as an overpayment towards the mortgage, cutting interest costs and accelerating repayment. Plus, borrowers retain full access to their savings, offering flexibility for withdrawals or additional deposits.
Savings offset against the mortgage debt don't generate taxable interest, resulting in potential tax savings, especially for higher-rate taxpayers.
With an offset mortgage, borrowers enjoy the security of savings while reducing mortgage interest costs, fast-tracking their journey towards mortgage-free homeownership.
While offset mortgages offer significant benefits, they may not suit everyone. Iwona, our mortgage expert is here to answer all your questions regarding mortgages. Please contact Iwona on iwona@haverfords.co.uk
Regulatory warning: Your home may be repossessed if you do not keep up with your mortgage repayments.
