Today's best mortgages
Jargon buster
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Second Charge
A s u b s e q u e n t c h a r g e t o t h e f i r s t c h a r g e . T h e h o l d e r o f t h e s e c o n d c h a r g e h a s a l e g a l c a l l o n t h e p r o p e r t y i n t h e e v e n t o f t h e b o r r o w e r d e f a u l t i n g o n r e p a y m e n t s , b u t o n l y a f t e r a l l l i a b i l i t i e s t o t h e h o l d e r o f t h e f i r s t c h a r g e h a v e b e e n s e t t l e d , e . g . a s e c u r e d l o a n p l u s a m o r t g a g e . M a y a l s o b e k n o w n a s a S u b s e q u e n t C h a r g e .
Self Build
A mortgage that is taken out on a property still under construction. Typically the lender will only pay out the loan in stages, corresponding to the completion of various stages in the construction.
Self Certification
A mortgage intended for borrowers who are unable to categorically prove their income by conventional means such as payslips and fully audited accounts, but can provide alternative evidence and thereby demonstrate the level borrowing is affordable. Typically the lender will charge higher rates of interest, or require a larger deposit.
Self Employed
A person who operates as a sole trader or in a partnership, such as small retailers or professionals such as accountants or dentists.
Shared Equity
A s c h e m e w h e r e b y a b o r r o w e r p u r c h a s e s p a r t o f a p r o p e r t y a n d t h e o t h e r p a r t i s p u r c h a s e d b y a t h i r d p a r t y , s u c h a s a h o u s i n g c o r p o r a t i o n . A s h a r e d e q u i t y s c h e m e d i f f e r s f r o m s h a r e d o w n e r s h i p i n t h a t n o o n g o i n g r e n t i s p a i d t o t h e t h i r d p a r t y . H o w e v e r , a n y f u t u r e i n c r e a s e s t o a p r o p e r t y s v a l u e r e s u l t s i n t h e t h i r d p a r t y s s h a r e o f e q u i t y i n t h e p r o p e r t y i n c r e a s i n g p r o p o r t i o n a t e l y . I n o t h e r w o r d s , a b o r r o w e r d o e s n o t f u l l y b e n e f i t f r o m f u t u r e i n c r e a s e s i n a p r o p e r t y s v a l u e .
Shared Ownership
A scheme similar to shared equity. However, the third party receives a monthly rental payment from the borrower in respect of their share in a property.
Sitting Tenant
A person currently renting and occupying a property, and who is legally protected against being removed.
Sole Occupancy
A property that is occupied (lived in) by only the mortgage applicant(s) and their direct family.
Special Conditions
Conditions attached to your mortgage offer that are specific to your application.
Stamp Duty
A government tax payable by the purchaser upon purchase of a property. Currently no stamp duty is applicable on purchases of up to £125,000; 1% on purchases between £125,001 and £250,000, 3% on purchases between £250,001 and £500,000 and 4% on purchases exceeding £500,000. Importantly the duty is levied on the whole value of a property. Some properties in designated disadvantaged areas may be exempted from stamp duty up to a threshold of £150,000. Its full title is "Stamp Duty Land Tax" in order to differentiate between duty on land and stock market shares.
Standard Construction
A building that has been constructed using conventional techniques and materials, for instance bricks and stone with a tiled or slate roof.
Standard Variable Rates
The standard interest rate (SVR) set by lenders, and which is subject to increasing or decreasing at the discretion of the lender. The standard variable rate often applies at the end of any fixed, capped or discounted period.
Start-up Business
Any business that does not have accounts dating back three years.
Structural Survey
A survey of the condition of a property, undertaken by a qualified surveyor, and for which the surveyor is responsible. A structural survey is the most detailed - and most expensive - of the property reports available. Also known as a "Building Survey."
Studio Flat
A property that consists of one main room, with a separate bathroom and sometimes a separate kitchen.
Surrender
The encashment of an investment vehicle, such as a mortgage-linked endowment policy.
Survey Fee
The fee payable to a surveyor for surveying a property.
Surveyor
A professional person qualified to estimate the value of land and property.
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