Which will be best a mortgage or a loan?

net6

Hi

I need £25k to buy the property i live in under the tennents right to buy scheme. Should i consider a loan as it is not a great amount.

Thanks in advance

zkeithz

Net6,
It depends on how much you can afford to repay and for how long you want to.

I do not want to be rude, but a mortgage is very similar to a loan. It is probable that any lender offering to loan you £25K will almost certainly look for some security, ie. a charge over the property, making it a secured loan, which is practically the same as a mortgage.

There are some very good fixed rate mortgages and loans available. I think I would be inclined to use some of the price comparison websites to assess the differences between the different products available.

I have saved hundreds over the last couple of years using them for things like mortgage, insurances etc..

Regards

Keith

clutton_2

there are far fewer companies offer mortgages for such a small amount, but, Nat West is one of them - not that i can recommend their service - its !!!!!!!!

Mortgage interest rates are nearly always a great deal less than a loan interest rate.

chinup_3

a loan. there is usually no redemption fee on a secured loan,tho' check of course,so you can kill it off quicker and cheaper. its a debt =it must die !! lol
as 'clutton' says also not much choice in market for low amount so rate wont be any cheaper than mortgage anyway [?]