@magicmoneytips: Getting a Mortgage? This is how you guarantee the best interest rate possible.. When it comes to getting the best mortgage interest rate, there’s one golden rule you need to know: the bigger your deposit, the better your deal. 💡 Here’s why. Lenders always look at something called Loan-to-Value (LTV). This is basically how much you borrow compared to how much your home is worth. The higher your deposit, the lower your LTV. And when your LTV is lower, lenders see you as less risky—which means they reward you with a lower interest rate. For example: • If you’ve only got a 5% deposit, your LTV is 95%. That’s high risk for the bank, so you’ll pay a higher interest rate. • But if you can save a 20% or even 40% deposit, suddenly your LTV drops massively—and that’s when you unlock the best rates available. This doesn’t just save you a bit of money each month—it can save you tens of thousands over the lifetime of your mortgage. 🏡💸 So what should you do? 👉 Start by setting a clear savings target. 👉 Cut back on unnecessary spending (yes, those little daily coffees add up). 👉 Consider side hustles, extra income streams, or savings accounts with decent returns to boost your deposit quicker. The bigger the deposit, the more negotiating power you’ve got, and the less interest you’ll end up paying. It’s all about playing the long game and setting yourself up for financial success. Save smart now = pay less later. 🔑 #MortgageTips #MoneyMatters #HomeBuyers #InterestRates #financialeducation

MagicMoneyTips | Kevin White

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Sunday 31 August 2025 07:30:46 GMT