The new tool is to support brokers as they guide Help to Buy customers on their next move in the mortgage market and is available for brokers to download at www.skipton-intermediaries.co.uk following the fifth anniversary of the launch of the Government’s HTB scheme.
Brokers are being given access to the unique Skipton calculator to help clients who are considering their options, including some who may wish to move away from HTB.
The calculator is designed to help brokers:
• Understand how a client’s equity loan may have changed since completion;
• Compare the likely financial impact of repaying vs retaining the equity loan;
• Project the future size of the equity loan if not repaid;
• Compare monthly mortgage and equity interest payments in different repay/retain scenarios.
Alex Beavis, Skipton’s Senior Products Manager – Mortgages, said: “As people’s circumstances vary we felt we should provide the tools to help homeowners make a decision regarding their future mortgage loan plans.
We’ve created an industry-first Help to Buy Refinancing calculator, which enables brokers to explore the different repayment options for their clients regarding their equity loan. Brokers can input figures supplied by customers, including present monthly payment figures, length of mortgage and present house values, and the calculator will present different scenarios from which the brokers can advise.
Once the figures have been inputted, some homeowners may wish to take a higher monthly mortgage in a bid to pay back the Government equity share, while others may wish to keep the equity or even pay off an amount. The calculator will give brokers and their clients the opportunity to discuss their next mortgage move armed with more information than they might have had.”
