Compare mortgages online

There are literally thousands of different mortgages, so how do you choose the home loan that’s right for you?

If you want someone to guide you through the mortgage maze, it’s probably best to speak to a broker. But you can also compare mortgages online.

It helps if you understand a little bit about the market though, so that when you compare mortgages you compare like with like. So make sure you know the difference between a tracker loan and a fixed deal, for example. You should also be familiar with the various fees and charges. Most lenders charge an arrangement fee, which can be as high as £500. Then there are penalties if you switch your loan early. The different fees can all add to the cost of the loan - and make it more tricky to compare mortgages.  

A number of online comparison sites can help you to compare mortgages. A quick way to find a good deal is to look up the site’s best-buy tables. The tables are usually divided into different mortgage types – so fixed rates, offset loans and so on – and are a good indication of the sorts of deals on the market. But make sure you understand the true cost of the loan. A mortgage with a low rate of interest, for example, might come with a high redemption penalty.

Most comparison websites run best-buy tables. Some brokers also publish best buys on their websites. But different sites use different criteria to compile the tables, so make sure you compare mortgages with care.

If you want a more bespoke comparison service, a number of sites can help you to select a tailor-made mortgage. In other words, they compare mortgages only if they are right for you. The service involves answering a few questions, such as the property value, the term of the mortgage and the type of loan, but it’s nothing too complicated. The site will then come up with the best deals. Some services also give you the chance to find out if you qualify for one of its selected best buys – although you will have to answer a few more questions.   

It’s a good idea to use both a best-buy table and a more bespoke service when you compare mortgages. You could also try a couple of different sites to make sure you really are getting the best deal.

If you then want to work out how much you can borrow and the monthly cost of different deals, you can simply click onto an online mortgage calculator and get the answer in minutes.

So there you are. The internet is a wonderful thing. It allows you to search, cost and compare mortgages, all at the click of a mouse.
 

compare mortgages using our search and select wizard
compare mortgages using our best buy tables