Residential Mortgages
Residential Mortgages refer to loan products designed to help individuals purchase or refinance residential properties within the city. These mortgages are structured to suit a variety of needs, including first-time buyers, home movers, and those looking to remortgage. The market for such mortgages is diverse, offering fixed-rate, variable-rate, and tracker options depending on the borrower’s financial profile and long-term goals.
Offer a consistent interest rate for a set period, typically two to ten years.
Provide stability in monthly repayments regardless of market fluctuations
Ideal for borrowers seeking predictable budgeting and protection from rate increases
May include early repayment charges if the loan is paid off before the fixed term ends
Interest rates can change at the lender’s discretion, often influenced by market conditions.
Monthly payments may fluctuate, making budgeting less predictable
Typically start with lower rates compared to fixed-rate products
Suitable for borrowers comfortable with potential changes in repayment amounts
Linked directly to the Bank of England base rate plus a set percentage
Rates move in line with changes to the base rate, offering transparency
Often come with introductory periods before reverting to a standard variable rate
Can be beneficial during periods of low interest rates
Borrowers pay only the interest each month, with the principal due at the end of the term.
Lower monthly payments compared to repayment mortgages
Requires a clear repayment strategy for the capital, such as investments or property sales
Commonly used by high-net-worth individuals or for investment purposes
Link savings accounts to the mortgage balance, reducing the interest charged.
Savings do not earn interest, but help lower the overall mortgage cost
Offers flexibility in managing finances and accelerating repayment
Best suited for borrowers with substantial savings and variable income
Proof of income through slips or tax returns
Eligibility criteria for residential mortgages in London
Eligibility criteria for residential mortgages in London
Eligibility criteria for residential mortgages in London
Eligibility criteria for residential mortgages in London
Eligibility criteria for residential mortgages in London
Eligibility criteria for residential mortgages in London 
Residential Mortgages are regulated by the Financial Conduct Authority. Lenders must adhere to responsible lending practices and ensure that affordability checks are conducted. Borrowers are advised to review all terms and conditions carefully before committing to a mortgage agreement.
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Most lenders expect a deposit of at least 5 per cent of the property’s value. A larger deposit may improve the chances of approval and secure better interest rates.
Yes, international applicants may be eligible, provided they meet specific criteria such as visa status, income verification, and credit history. Additional documentation is often required.
The timeline varies, but most applications are processed within four to six weeks. Factors such as property valuation and legal checks can influence the duration.
Yes, several schemes exist to support eligible buyers, including shared ownership and equity loan programmes. These are subject to specific criteria and availability.
Fixed-rate mortgages offer consistent monthly payments over a set term, while variable-rate mortgages fluctuate based on changes in the lender’s standard rate or market conditions.
What fees should applicants anticipate during the mortgage process?
