Mortgage Basics Explained

Everything you need to know about mortgages in the UK. Types, rates, terms, and how to get the best deal.

Types of Mortgages

The main types are fixed-rate, tracker, standard variable rate, and discount. Most buyers choose a 2 or 5-year fix for payment certainty.

Lenders typically offer 4-4.5 times your annual income. A larger deposit unlocks better rates.

Loan-to-Value is your mortgage amount as a percentage of the property value. Rates improve at key thresholds—90%, 85%, 80%, 75%, and 60%.

Compare deals using a broker. Overpaying even small amounts can save thousands over the term.