Type of Mortgage

Repayment Mortgage, this mortgage is paid back over a set number of years, each repayment is part capital and partly interest, over time the interest becomes less meaning that you may get less tax relief.

Endowment Mortgage, this is the most common type of mortgage, each monthly payment is part interest and part payment into an endowment fund (life policy), this fund grows over time and at the end of the term should be enough to repay the original loan, there may even be money left over on top!

Pension Mortgage, this mortgage very similiar to the endowment mortgage except that the payments are into a pension fund instead, the main advantages of this scheme are that there are many tax breaks to the method.