How do I get a mortgage?

You can apply to a bank or building society directly or through a mortgage adviser or broker. You will usually need proof of identity, proof of address such as utility bills, and bank statements. The lender will ask about you and your finances and run checks to decide what you can afford. If your application is accepted, you will be sent a mortgage offer.

I'm moving house. How will this affect my mortgage?

You can often take your existing mortgage deal with you when you move, known as porting, but you may need to borrow more for the new home unless you are downsizing. Expect the lender to carry out affordability and credit checks again. Moving also brings costs such as a property valuation, legal fees and stamp duty.

Are there fees when applying for a mortgage?

Yes, there can be several. Advice fees may be charged by a mortgage adviser. Booking fees reserve the deal while your application goes through. Arrangement fees go to the lender for setting up the mortgage. Valuation fees cover the lender's survey to check the property is worth what you want to borrow. Legal fees pay a solicitor or conveyancer to handle the paperwork.

How much deposit will I need?

It depends on the lender and the deal. In general, a larger deposit gives you access to a wider range of mortgages and often lower interest rates. MoneyHelper explains deposits and government-backed home-buying schemes in more detail.

How much can I afford to pay on a mortgage?

This depends entirely on your financial situation. A lender will ask about your finances in detail and base any offer on your income and the financial commitments you already have.

Money and renewals

Mortgages

A plain guide to mortgages: fixed, variable and standard variable rates, the fees involved, moving home and how lenders decide what you can borrow.

Whether you are buying your first home, moving to a new property or looking to remortgage, choosing a mortgage is one of the biggest financial decisions you will make. It is important to have one you can afford over the long term.

What is a mortgage?

A mortgage is a loan used to buy a property. The amount you borrow, plus interest, is secured against the value of the property. You pay it back in monthly instalments, including interest, until the loan is paid off in full. Because the loan is secured on your home, the property may be repossessed if you do not keep up repayments.

What are the different types of mortgage?

When you apply for a mortgage, the lender will ask questions about you and your finances to get a clear picture of what you can afford. These are the main types of deal.

Fixed rate mortgages

With a fixed rate mortgage, the interest rate is set for a certain period of time, often a few years. Your monthly payments stay the same during that period, which can help if you need to stick to a budget.

Variable rate mortgages

A variable rate mortgage has an interest rate that can go up or down. Some variable deals, called trackers, follow the Bank of England base rate. Others are discounts off the lender's own rate. Your monthly payments can change as the rate changes.

Standard variable rate

Every lender has a standard variable rate, or SVR. This is the lender's main rate, and it is usually what you move on to when an introductory fixed or discounted deal ends. The lender sets it and can change it.

Where to get help

Kompare doesn't currently offer quotes for mortgages. If you want free, impartial guidance on mortgages, deposits and home-buying schemes, MoneyHelper is the free government-backed service. If you take advice from a mortgage adviser, you can check they are authorised on the FCA register.

If you are looking for insurance for your new home, see our home insurance page or read about how we work.