How To Find The Best Debt Consolidation Re Mortgage Rate

Everyone who wants a debt consolidation remortgage wants to find the best debt consolidation re mortgage rate. But which debt consolidation re mortgage rate is the best? Is there a single debt consolidation re mortgage rate that is best for everyone? Unfortunately, it is not quite as simple as that. There are many factors to be considered when selecting the debt consolidation re mortgage rate. Here are a few aspects to consider.

First of all, when choosing the debt consolidation re mortgage rate that is right for you, you will need to look at the rates that are available. However, although a particular lender will publish a debt consolidation re mortgage rate the published rate may not always be the rate that you get. The headline debt consolidation re mortgage rate will often be based on a particular set of circumstances. If your circumstances are different then your debt consolidation re mortgage rate will be different too.

Interest Rate Loadings

When considering the best debt consolidation re mortgage rate look out for the interest rate loadings. Many of the adverse credit mortgage lenders have a starting rate, but the rate moves up depending on your actual circumstances. So a particular debt consolidation re mortgage rate might start at 5.5 per cent, but then the lender who provides the debt consolidation re mortgage rate will add 0.25 per cent if the borrower is self certifying, another 0.25 per cent for a right to buy property purchase, another 0.5 per cent for buy to let and may even add more for making the mortgage flexible. So that means you could end up with an additional percentage point on the debt consolidation remortgage rate and with some lenders that could be as much as five per cent on top of the starting rate.

The other issue affecting the debt consolidation re mortgage rate is the circumstances that affect you. For example a well known provider in the adverse credit mortgage market adds a certain percentage to its debt consolidation re mortgage rate depending on loan to value and adverse circumstances. So how does this affect the debt consolidation remortgage rate? It's like this. Suppose you started at a rate equivalent to the base rate for a 70 per cent loan to value purchase? If you were in the medium adverse category you could end up paying 0.76 per cent more as a starting rate and 1.25 per cent more for heavy adverse. And you would also end up paying more for a higher loan to value, almost another percentage point more with some lenders.

So it is worth looking into the detail when selecting a debt consolidation remortgage rate. Since there are 30 lenders who provide adverse remortgages*, each with dozens of deals, trawling through the fine print could take a long time. However, there is a short cut to choosing the best debt consolidation re mortgage rate. Brokers are there to save you the hassle. A broker will note down your circumstances, match you with a lender and find the best debt consolidation re mortgage rate for you.

* Source: Trigold - 31/07/2007 In general Buy to Let mortgages are not regulated by the Financial Services Authority.

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