Mortgage Comparison

Our comparison tool works by searching through 12,000 deals from 100 lenders.

Using our comparison tool is a great first step to seeing what the market has to offer, but if you want a clearer view, along with some expert advice, sign up and speak to one of our advisers.

You can also arrange a quick, free call back and speak to an adviser over the phone.

Mortgage interest rates will affect how much you pay toward your mortgage each month. So the higher the interest rate, the more you’ll pay every month.

An interest rate is a percentage you pay on top of your capital mortgage payments each month until you finish paying your mortgage. 

Think of it as a cost for borrowing money. This is how lenders make money back from lending.

There are different types of interest-rate mortgages:

• variable rate mortgages

• fixed-rate mortgages

• tracker rate mortgages

Your first consideration when contemplating a mortgage is your budget. You’ll need to assess your current financial situation including your income, expenses, existing debts, available deposit and credit score. 

Consider your income and outgoings and determine the maximum monthly repayment you could afford to make without it putting a strain on your finances. Afterwards, use our mortgage calculator to get an idea of how much you could comfortably afford to borrow. 

Don’t forget to budget for other costs associated with buying a house, such as Stamp Duty, conveyancing fees, and the cost of hiring professional removal services. You also need to consider how your regular monthly outgoings might change when you move to a new location. If you’re moving to a larger house for example you may need to spend more on council tax, home insurance and utility bills.

Do your research to grasp the different types of mortgages available to you, including fixed-rate, variable-rate, and interest-only mortgages. Each product has its own unique features and benefits, and the right option for you will depend on your individual financial circumstances. 

If you’re seeking the assurance of knowing exactly what your mortgage repayment will be each month, then a fixed-rate mortgage could be the right choice for you. 

If your goal is to pay off your mortgage as soon as possible and you’d like the option to make overpayments then a variable-rate mortgage without early repayment charges could be a more suitable option.

All mortgages incur a fee known as interest which is the cost of borrowing. Interest rates can significantly impact both your monthly repayments and the total cost of your mortgage. 

Comparing interest rates from various lenders for the same type of mortgage is crucial but keep in mind that the lowest rate might not always translate to the most cost-effective option when other variables are taken into account.

This is because mortgages often come with additional fees, such as arrangement fees, valuation fees, legal fees, and early repayment charges, which can significantly impact the total cost of your mortgage. 

A lender advertising the lowest interest rate might come with higher fees, resulting in a mortgage that's more expensive compared to other lenders featuring slightly higher interest rates but lower additional charges. 

The Annual Percentage Charge (APRC) offers a more accurate representation of the total cost of borrowing, by including both the interest rate and any fees charged by the lender. Compare APRCs to understand the overall cost of each mortgage deal.  

It’s worth noting that APRCs won’t include fees for any late or early repayments you make.

Our mortgage comparison tool will show you the initial period cost, which is how much you’ll pay in total over your initial mortgage period. 

Remember, your mortgage term can also impact the cost of your mortgage. A shorter term will typically result in higher monthly payments but lower overall costs. A longer term leads to lower monthly payments but potentially higher overall costs.

If you’re planning to make overpayments on your mortgage, it could be beneficial to look for a deal that allows early repayments without penalties. 

Typically, it’s only mortgages that have an initial period of fixed or discounted interest rates that have early repayment charges. Standard variable rate and tracker mortgages often come without early repayment charges.

Using our online mortgage comparison tables, you can explore various options available to you. Just input details about your property’s value, how much you want to borrow, mortgage type and preferred term. This allows you to compare mortgage rates and fees, helping you to find the right solution for you.

Choosing a new mortgage deal is an important decision. Take your time to assess all the options and consider seeking advice from experts like ours. 

After considering all the factors, choose the mortgage deal that aligns with your financial goals, preferences, and long-term plans.

There are a number of factors that can affect your ability to get a mortgage. All lenders will have their own eligibility criteria, meaning you may be rejected by some lenders but accepted by others. 

Typically, your eligibility for a mortgage will be based on the following factors:

• How much you want to borrow

• How much deposit you have 

• Your monthly income

• Your monthly outgoings

• Your employment status

• Your credit history

• The property you want to buy - some lenders won’t offer mortgages on listed buildings, high-rise flats or homes made from non-standard materials, for example.

To increase your chances of successfully getting a mortgage, it’s a good idea to use a mortgage broker. Our expert mortgage brokers compare thousands of deals from over one hundred different lenders and can help you pick the right mortgage deal for your circumstances.

Once you’ve found the right mortgage deal for you, it’s time to start the application process. When you apply for a mortgage, the lender will run a hard credit check to find out how you’ve managed credit in the past and double check there’s nothing in your credit report that would mean you’re not eligible. 

You’ll need to provide some documentation with your mortgage application. The exact documentation you’ll need will vary depending on the type of mortgage you’re applying for, your financial situation and your lender, but will typically include:

• Bank Statements (typically from the last three months) - Lenders will use these to look at your regular outgoings and whether you’re able to afford the monthly repayments. 

• Proof of Income - This will typically be payslips from the past three months. Lenders can also request to look at your bank statements to assess whether you have a regular income to cover your monthly payments. 

• Proof of ID - Such as your passport or driving licence.

• Proof of address - Such as a recent utility bill, council tax bill or bank statement. Any documents you supply for proof of address should be dated within the last three months. 

Proof of deposit - You’ll need to prove where your deposit came from. If you’ve saved your deposit and are currently holding it in a savings account, you’ll need to provide a bank statement for this savings account, you may be asked about any significant deposits into the account. If you’ve been gifted the deposit, you may need a signed letter from the person gifting you the deposit.

Buying a house and applying for a mortgage can often be a lengthy process, but the actual time it takes to apply for a mortgage will vary. 

How long your mortgage application takes will depend on a variety of factors, such as the complexity of your financial situation, the efficiency of the lender and also how quick you are at responding to any queries your lender or broker may have. 

When you apply for a mortgage through Better.co.uk, your case manager will be on hand to help you through the whole application process, chasing the lender when necessary and keeping you informed every step of the way.

Mortgage offers are only valid for a fixed timeframe. This will vary between lenders but mortgage offers typically last three to six months. 

If completion on your new property is delayed, you may be able to ask your lender to extend your mortgage offer for another three to six months. However, if your offer isn't extended, you may need to reapply for the mortgage.

Typically mortgage terms are between 25-35 years, but there are some lenders on the market who offer mortgages over 40 years. The mortgage term you’re able to get is likely to depend on your age; for example, if you’re an older borrower, you may struggle to be approved for a lengthy mortgage term.

How do I get the best mortgage rates?

The interest rate you receive on your mortgage can be influenced by various factors. Following the steps below will help you to get the best mortgage rates for your circumstances: 

• Use a mortgage broker: Our expert mortgage brokers will be able to help find the right mortgage deal for you.

• Work on your credit score before you apply: Your credit score will impact the mortgages you’re eligible for, and like most borrowing products, the best rates are typically reserved for reliable borrowers with a good credit history. 

Having a reasonable deposit: The Loan-to-Value (LTV) of your mortgage, how much you borrow vs the value of your house, can have a significant impact on the mortgage rates you’re offered. Borrowers with larger deposits typically pose less risk to the lender because the property's value is significantly higher than their investment, and you’re less likely to fall into negative equity if house prices fall.

A mortgage deed is a legally binding contract between you and your lender, which is secured against your property. When you successfully apply for a mortgage, you’ll need to sign your mortgage deed. 

A mortgage deed outlines the conditions of your mortgage, the total amount you’ll need to repay and the terms of the mortgage loan. You’ll need to sign a new mortgage deed if you remortgage your property.

There are some circumstances where a mortgage offer can be withdrawn, typically when you have a change in circumstances, such as losing your job, the lender finds you’ve given inaccurate or false information on your application or if the surveys carried out find an issue with the property you wish to purchase. 

There isn't a specific credit score requirement to qualify for a mortgage because lenders use a variety of factors to assess your eligibility. Your credit score is just one important factor—lenders will also consider your income, employment history, debt-to-income ratio, and the size of your deposit. 

Having a higher credit score will generally improve your chances of obtaining a mortgage and having a good credit score can make you more attractive to lenders and potentially allow you to access lower interest rates.

Different lenders have varying criteria, and each mortgage provider may have their minimum credit score requirement. A mortgage application involves a comprehensive assessment of your financial situation, so it's a good idea to work on maintaining a healthy credit score before applying for a mortgage. 

You can switch mortgage lenders through a process called remortgaging. Remortgaging involves finding a new mortgage lender who will pay off your existing mortgage. You’ll then start making repayments to the new lender. 

Most people choose to remortgage when their fixed-rate or discounted mortgage deal ends in order to avoid moving to their current lender's standard-variable rate tariff. Some homeowners will also choose to remortgage to borrow more money, typically to consolidate other debts or fund home improvements. 

The process of remortgaging closely resembles the application process for your initial mortgage. Our comparison tool enables you to compare remortgage options from multiple lenders, helping you to find a suitable remortgage deal.

Remember, if you're within a fixed interest period, opting for a remortgage might incur early repayment charges. Hence, it's crucial to weigh up the advantages and disadvantages before making a decision to switch mortgage lenders.

The interest rate and APRC (Annual Percentage Rate of Charge) are important figures when comparing mortgages. 

Interest rates:

The interest rate is a percentage of the mortgage, which is the amount that a lender charges for borrowing. It determines your monthly mortgage payment and, most of the time is expressed as an annual percentage. 

APRC:

APRC gives a more comprehensive view of the cost of borrowing, which includes not only the interest rate but also any other standard fees associated with the mortgage. 

APRCs allow you to compare the full cost of a mortgage rather than just the cost of the interest. APRCs are also expressed as a percentage of the amount you want to borrow.

Whether you should get a repayment or interest-only mortgage will depend on your circumstances and personal preferences. 

Most residential mortgages are repayment mortgages, which are when your monthly repayments go towards paying the interest and repaying a portion of the amount you borrowed. By the end of the mortgage term, you will have completely repaid the mortgage.

With interest-only mortgages, your monthly repayments are typically lower but only go towards paying the interest, and at the end of the mortgage term, you’ll still owe the amount you borrowed. Interest-only mortgages are typically used to purchase investment properties.

LTV stands for Loan-to-value and represents the ratio between the value of your property versus how much you borrow. For example, If your home is worth £500,000 and you have a mortgage of £350,000, you’d have an LTV of 70%. 

Lenders often use the LTV ratio to assess the risk associated with a mortgage. Generally, a lower LTV ratio (closer to 0%) indicates that the borrower has a larger equity stake in the property, which is considered less risky for the lender. On the other hand, a higher LTV ratio (closer to 100%) suggests a smaller equity stake, which could pose more risk.

LTV ratios also impact factors like mortgage interest rates. Use our LTV calculator to see your loan-to-value.