How Should I Compare Mortgages?
Calculate total cost over your expected term (payments + fees - cashback), not just the interest rate. Use a broker to search the whole market.
Comparing mortgages on rate alone is a common mistake. Two mortgages with the same rate can have vastly different total costs due to fees. To compare properly, calculate the total you'll pay over your intended term: multiply the monthly payment by the number of months in your deal, add any product fees, valuation fees, and legal costs, then subtract any cashback. This gives you the true cost of each deal. On a £200,000 mortgage, a 0.1% rate difference is £200/year - so a £1,000 fee needs 5 years to 'pay back' through the lower rate. Most people remortgage after 2-5 years, making fees highly relevant.
Your home may be repossessed if you do not keep up repayments on your mortgage.
Key Points
- 1Calculate total cost, not just rate
- 2Include all fees in comparison
- 3Consider your expected term (2, 5, 10 years)
- 4Factor in cashback offers
- 5Comparison sites show limited market
- 6Brokers access exclusive deals
Eligibility Criteria
- Know your deposit/equity percentage
- Understand your credit profile
- Have income documentation ready
- Know your property type and value
- Decide on fixed vs variable preference
Typical Timeframe
Comparing mortgages yourself takes hours. A broker can search thousands of deals in minutes using specialist software, then present you with the best options for your circumstances.
Next Steps
- 1Gather your financial information
- 2Check your credit report
- 3Calculate your loan-to-value ratio
- 4Speak to a whole-of-market broker
- 5Compare total costs not just rates
Why This Matters for Your Mortgage
Understanding these details helps you make informed decisions during the mortgage process. Every element of your application—from deposits to documentation—affects your approval chances and the rates you can access.
Lenders assess applications holistically, weighing multiple factors together. Knowing what they look for allows you to present the strongest possible application. This is particularly important for non-standard situations where lender criteria varies significantly.
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Related Questions
For more detailed information about this topic, visit our comprehensive guide:
Mortgage Hub
Content reviewed: January 2026
CeMAP awarded by The London Institute of Banking & Finance. Cert CII (MP) awarded by the Chartered Insurance Institute.