UK Mortgage Lenders
There are a large number of mortgage lenders in the field, and
you should be aware of the different types and the key differences
in the services they provide, read on to get the information you
need to be in the best position for securing your mortgage.
 
Mortgages have traditionally been the domain of building societies,
and for many people these are still the best place to look for
their mortgage, however the building society is not alone in the
mortgage sector with increasing competition coming from the large
high street banks, specialist lenders, insurance companies and
intermediaries.
Banks are certainly the main competitors to the established building
societies, and with their knowledge and background in lending,
they are well positioned for the mortgage market. Having established
networks of branches and good national coverage puts the banks
in a good situation in terms of accessibility, however the additional
costs of such infrastructure means that banks tend to have higher
standard rates of interest than the building societies. If you
shop around you should be able to find some good low introductory
rates from the banks.
Specialist lenders will concentrate on niche areas, such as mortgages
for people in adverse credit situations, or those looking for
a buy to let mortgage. A specialist will have a good knowledge
of the area they deal with, and will be able to offer you expert
advice, as they are generally small companies they will have small
overheads and should be able to offer favourable rates. Such companies
will often only deal with customers over the phone or the internet,
and may not have much history in the money lending field, which
could be a concern for some people.
When arranging a mortgage, you will almost certainly have to
arrange buildings insurance to cover the lender in case the property
is destroyed, some insurance companies have taken the leap and
now offer mortgages as well. This could be a convenient route,
dealing with just the one company to arrange the whole finance
deal, and you may find you get a better insurance deal when taking
the mortgage with them at the same time.
Whilst not technically mortgage lenders, intermediaries are worth
a mention in this context. These brokers will ideally search through
the deals offered by various lenders to find a mortgage that is
right for you. You should be aware that brokers may be tied to
specific lenders, and as such may not have your best interests
at heart, instead pushing the deal which they are obliged to through
ties with lenders.
Ask most people where mortgages are obtained from and they will
reply with the answer of building societies. These are a good
choice for most people, and the place where the lowest interest
rates are usually found, thanks in part to mutual status of these
organisations. Being specialists in the mortgage lending field,
building societies are ideally positioned to offer expert advice
on the full range of mortgages, and are the best choice for most
consumers.
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