Mortgages & Property
Complete Guide to UK Mortgages 2026
Everything you need to know about mortgages in the UK. Types, how to get one, costs, calculators, and expert guidance for first-time buyers and home movers.
This comprehensive guide covers everything you need to know about getting a mortgage in the UK.
What Is a Mortgage?
A mortgage is a loan secured against property. If you don’t repay, the lender can repossess your home.
| Key Facts |
Details |
| Typical term |
25-35 years |
| Secured against |
Your property |
| Monthly payments |
Interest + capital (usually) |
| Deposit required |
Minimum 5% |
Types of Mortgages
By Interest Rate Type
| Type |
How It Works |
Best For |
| Fixed rate |
Same rate for set period (2-5 years typical) |
Certainty, budgeting |
| Tracker |
Follows Bank of England base rate |
Flexibility, potential savings |
| Variable/SVR |
Lender’s standard rate |
Short-term only |
| Discount |
Reduction off SVR for set period |
Lower initial payments |
Our guides:
By Repayment Method
| Type |
How It Works |
End Result |
| Repayment |
Pay interest + capital monthly |
Own home outright |
| Interest-only |
Pay interest only, capital at end |
Need repayment plan |
Specialist Mortgages
| Type |
For |
| First-time buyer |
Those who’ve never owned |
| Buy-to-let |
Landlords |
| Self-employed |
Variable income |
| Shared ownership |
Part-buy, part-rent |
| Help to Buy |
Government scheme (closed) |
Related guides:
How Much Can You Borrow?
Income Multiples
| Lender Approach |
Typical Multiple |
| Standard |
4-4.5x income |
| Some lenders |
Up to 5-5.5x |
| Joint applications |
Combined income |
Affordability Assessment
| They Check |
Why |
| Income |
How much you earn |
| Outgoings |
Regular commitments |
| Debts |
Credit cards, loans |
| Dependents |
Children, others |
| Future rate rises |
Stress testing |
Use Our Calculators
Deposits Explained
Minimum Deposits
| Deposit |
LTV |
Rate Impact |
| 5% |
95% LTV |
Highest rates |
| 10% |
90% LTV |
Better rates |
| 15% |
85% LTV |
Good rates |
| 20%+ |
80% LTV or less |
Best rates |
Building Your Deposit
| Strategy |
Details |
| Regular saving |
ISAs, savings accounts |
| Lifetime ISA |
25% government bonus |
| Family help |
Gifted deposit, guarantor |
| Schemes |
Shared ownership |
Related: Lifetime ISA Guide
The Mortgage Process
Step by Step
| Stage |
What Happens |
Timeline |
| 1. Agreement in Principle |
Quick credit check, borrowing estimate |
Same day |
| 2. Find property |
Make offer, get accepted |
Varies |
| 3. Full application |
Detailed checks, documents |
1-2 weeks |
| 4. Valuation |
Lender values property |
1-2 weeks |
| 5. Mortgage offer |
Formal approval |
1-2 weeks |
| 6. Legal work |
Conveyancing |
4-8 weeks |
| 7. Exchange |
Contracts signed |
— |
| 8. Completion |
Keys handed over |
Usually 1-2 weeks after exchange |
Documents Needed
| Document |
Why |
| ID (passport, driving licence) |
Prove identity |
| Proof of address |
Utility bills, bank statements |
| Payslips (3 months) |
Prove income |
| Bank statements (3 months) |
Show spending |
| P60 |
Annual earnings |
| Tax returns (if self-employed) |
2-3 years |
| Proof of deposit |
Where it comes from |
Mortgage Costs
Upfront Costs
| Cost |
Typical Amount |
| Deposit |
5-20% of property |
| Arrangement fee |
£0-£2,000 |
| Valuation fee |
£0-£500 |
| Legal fees |
£1,000-£2,000 |
| Survey |
£300-£700 |
| Stamp Duty |
Varies (calculators below) |
Stamp Duty Calculators
Ongoing Costs
| Cost |
Frequency |
| Mortgage payments |
Monthly |
| Buildings insurance |
Required by lender |
| Life insurance |
Usually advisable |
| Maintenance |
Ongoing |
| Service charges |
If leasehold |
Key Mortgage Calculators
First-Time Buyers
Special Considerations
| Topic |
Details |
| No chain |
Often faster process |
| Government schemes |
Shared ownership, First Homes |
| Stamp Duty |
Relief for FTBs (check current rules) |
| Lifetime ISA |
Use bonus toward deposit |
| Lower deposits |
5% options available |
First-Time Buyer Checklist
| Step |
Done |
| Check credit report |
☐ |
| Build deposit |
☐ |
| Get Agreement in Principle |
☐ |
| Budget for all costs |
☐ |
| Research areas |
☐ |
| Get mortgage advice |
☐ |
Remortgaging
When to Remortgage
| Situation |
Consider Remortgaging |
| Fixed rate ending |
Before SVR kicks in |
| Better rates available |
Check the market |
| Home value increased |
Access better LTV |
| Need to borrow more |
Home improvements |
| Circumstances changed |
Better products available |
Full guide: Remortgaging Guide
Getting Help
Mortgage Brokers
| Pros |
Cons |
| Access whole market |
May charge fee |
| Expert advice |
Not always best deals |
| Handle paperwork |
— |
| Know specialist lenders |
— |
Where to Get Advice
| Source |
Details |
| Independent broker |
Whole-of-market |
| Bank/building society |
Their products only |
| Online comparison |
Research tool |
| Citizens Advice |
Free guidance |
Summary: Getting Started
Before You Begin
| Check |
Details |
| Credit report |
Fix any errors |
| Deposit saved |
Know your amount |
| Affordability |
Realistic budget |
| Documents ready |
Speeds up process |
Key Questions to Ask
| Question |
Why It Matters |
| What’s the total cost? |
Not just monthly payment |
| What fees apply? |
Arrangement, valuation |
| Can I overpay? |
Flexibility |
| What happens after fixed period? |
SVR rate |
| Early repayment charges? |
If circumstances change |
A mortgage is likely the biggest financial commitment you’ll make. Take time to understand your options, use our calculators to plan, and consider professional advice — especially for your first mortgage or complex situations.
Your home may be repossessed if you do not keep up repayments on your mortgage. PocketWise provides information and guidance — we do not offer financial advice. Seek independent mortgage advice before making decisions about borrowing.