Why Choose a Specialist Mortgage?

When it comes to mortgages, many things are needed to be accounted for: the value of the property that’s going to be mortgaged, your status as the borrower, and even your records. From that, you can choose any mortgage that’s available to you and one that fits your needs more. However, if you find yourself too overwhelmed by everything you have to do, you might try getting a specialist broker. A specialist mortgage broker is one that takes care of specialist mortgages and helps you manage them.

But why even choose a specialist mortgage at all? Why not just apply for an ordinary loan or mortgage? What’s so special about them?

What are specialist mortgages?

Specialist mortgages are unique in a way that they are entirely different from your standard mortgage. That happens under certain conditions and can only be applied to certain circumstances as well. For example, second mortgages can only be applied for while part of your property is already mortgaged. Second charge mortgages are usually availed of when you reapply to mortgage the property already paid off, again, to get a loan. Self-build mortgages are mortgages that let you receive credit as the property being put into a mortgage is made. You usually can’t get a loan without a property mortgage. In this setup, you’ll need to initially pay off part of the costs required to build the property, then someone comes and inspects the work. When the work is approved, the amount spent will be reimbursed by the lender to the borrower. Such a mortgage is more apt for people who plan to build their new home and have the partial funds needed to get the work started.


The reason you’ll apply for these special mortgages instead is that these mortgages are made to suit the borrower’s needs while ensuring the lender that they can get something out of it. With specialist mortgages, it will be easier for the borrower to get a loan while making sure that the lender will be able to foreclose on something should the borrower be unable to pay the mortgage.

Can’t you get a regular loan?

Well, the laws around the world are very tight when it comes to mortgaging properties. It always depends on the borrower’s financial status. Like for second charge mortgages, you won’t be allowed a loan if you cannot present proof that you’re able to pay off the loan, even though you own part of the property you are mortgaging.

If you are still not convinced or even unsure of getting a specialist mortgage, consider asking brokers for advice. Being able to work out what kind of mortgage you need will not only saves you time but money as well as you get your planned project started. Whether it is building a new house or renovating an old one, having the right affordable mortgage will make your projects more manageable. So the next time you plan on getting a loan, instead of getting an ordinary mortgage deal, see if a specialist mortgage might be a better fit for your needs.