Reviewing the UK’s best mortgage providers
To buy a home, you’ll need to borrow money from a mortgage lender. It used to be the case that you’d have to go to a building society to get a mortgage, but these days most banks offer mortgage products for home owners.
In fact, there are more than 90 mortgage lenders on the market, who together offer over 11,000 deals.
You might hear mention of ‘major lenders’ and ‘specialist lenders’.
Major lenders include what’s commonly referred to as ‘The Big Six’ - that’s Lloyds (including Halifax), Nationwide, Santander, RBS, Barclays, and HSBC - because these six lenders collectively account for the majority of all mortgage lending in the UK.1
Specialist mortgage lenders
Specialist lenders, such as Kensington and Aldermore, offer mortgage deals suitable for those who are self-employed or with poor credit histories.
Self-employed mortgage lenders
Historically it's been more difficult to get a mortgage if you're self-employed, but these days many lenders are more lenient about lending money to those in this situation.
For example, if you've saved enough for a good sized deposit, have a healthy credit rating, and have up to two years accounts showing a steady income, you'll likely have a chance of getting a mortgage with one of these lenders.
For those who don't have a large despoit, perfect credit history, or years of accounts available, there are specialist lenders who will also consider lending to you.
Bad credit mortgage lenders
If you don't have a great credit rating, this doesn't immediately mean you're not going to be eligible to get a mortgage. However it may reduce the number of lenders willing to assess your aplication.
If you're worried about your credit rating, it's worth sharing a copy of your credit report with your mortgage broker so they can look into which lenders might be most suitable to consider when searching for the right deal.
While there are lenders who are happy to help those with more severe credit issues, they'll typically offer less competitive deals with higher interest rates.
Help-to-buy mortgage lenders
There are many lenders who provide mortgages for those using the help-to-buy government scheme, such as Natwest, Nationwide, and HSBC.
It's important to remember that you'll need to apply for the equity loan directly on the government website to secure the funding for the deposit.
When picking a lender, your mortgage broker will be able to confirm the details of the equity loan, how this impacts your application, and the implications for when you remortgage in the future.
Online mortgage lenders
Online lenders, such as Digital Mortgages, are newer entrants to the market. They typically provide residential mortgages, but offer a purely digital experience rather than using call centers or branches.
Bear in mind that you'll need a smartphone available to apply. This applies to all applicants to the mortgage.
The benefits of using an online mortgage lender generally include a faster service that traditional non-digital lenders, and having the status of your application available at the click of a button.
Top mortgage lenders
When it comes to finding you a mortgage, we'll always search the market for the most suitable deal for your specific circumstances.
However, it's useful to know which lenders receive the least number of complaints, which process applications the quickest, and which will lend the most based on your income.
For example, knowing that Barclays and HSBC took an average of 22 days to process applications for our customers over a 12 month period (the longest of the 'big six' lenders) might encourage you to start the application process a little earlier than planned.
So we've captured this data and more, to give you an idea of which lenders are top for these criteria and prepare you for a future application.