Your Complete Guide to Mortgages

When we say 'fee-free', we mean exactly that - you will not pay a penny for your mortgage advice and brokerage services.

• Expert mortgage advice from qualified advisors
• Access to exclusive rates from multiple lenders
• Complete application support from start to finish
• No broker fees or hidden charges

At Homemove, we simplify the process by connecting you with a fee-free mortgage brokers. This does not affect the rate you receive - in fact, our partners often secure better rates than going direct to lenders.

A fixed-rate mortgage offers stability and predictability for homeowners. With this type of mortgage, your interest rate remains the same for a set period, typically 2, 3, 5, or 10 years. This means your monthly payments stay consistent, making it easier to budget and plan your finances.

Fixed-rate mortgages are particularly popular when interest rates are low, as they allow you to lock in a favorable rate for the duration of the fixed period. After the fixed term ends, you will typically move onto your lender's standard variable rate, which is usually higher, so many homeowners choose to remortgage at this point to secure another competitive deal.

Variable rate mortgages have interest rates that can change over time, which means your monthly payments may go up or down. There are different types of variable rates, including tracker mortgages that follow the Bank of England base rate, and standard variable rates set by individual lenders.

The main advantage of variable rate mortgages is that they often start with lower initial rates compared to fixed-rate deals, and you may benefit if interest rates fall. However, they also carry the risk that rates could increase, making your monthly payments more expensive and harder to budget for.

With an interest-only mortgage, you only pay the interest on your loan each month, not the capital amount you borrowed. This means your monthly payments are significantly lower than with a repayment mortgage. However, at the end of the mortgage term, you will still owe the full amount you originally borrowed and will need a repayment plan in place to pay off the capital.

Interest-only mortgages are typically used by property investors who plan to sell the property to repay the loan, or by homeowners who have other investments or savings plans to cover the capital repayment. Lenders have strict criteria for these mortgages and will require evidence of your repayment strategy before approving your application.

Stamp duty is a tax you pay when buying a property in England and Northern Ireland. The amount you pay depends on the property price, whether you are a first-time buyer, and if you already own another property. Understanding stamp duty costs is crucial when budgeting for your home purchase, as it can add thousands of pounds to your moving costs.

First-time buyers benefit from stamp duty relief on properties up to £425,000, while additional property purchases attract a 3% surcharge on top of standard rates. The rates and thresholds can change, so it is important to check the current stamp duty rates when planning your purchase to ensure accurate budgeting. For a comprehensive guide to stamp duty rates and exemptions, visit our detailed stamp duty article.