With some buyers remaining nervous about higher mortgage rates, don’t forget that most lenders will allow you to offer a mortgage subsidy if you have the ability to offer a financial incentive.
The benefit of a mortgage subsidy is that it doesn’t need to take up a full 5% incentive as it is tailored to your individual circumstances. Ultimately delivered as a cashback on completion, mortgage subsidies can be calculated over 2, 3 or 5 years to provide a buffer to your budget while interest rates stabilise. In the mortgage scenario above, a 5% incentive used as a mortgage subsidy could bring the monthly payment down to less than £850pm for 5 years. Speak to your Mortgage and Protection Adviser for more information.