Mortgages explained

Fixed Rate Mortgage

fixed-rate
  • These don't follow the Bank of England base rate.
  • The monthly mortgage repayment is fixed and remains the same for a set number of years.
  • Useful for people who want to know what they'll be paying each month.

Fixed rate explained

Tracker Mortgage

tracker
  • These follow the Bank of England base rate.
  • Trackers usually offer lower payments in the early years.
  • Good for people who want to have low monthly payments in the first few years of their mortgage.

Tracker explained

Flexible Mortgage

flexible
  • These follow the Bank of England base rate for the life of the mortgage.
  • You can overpay or underpay if you need to.
  • Good for people who want flexibility and don't want the hassle of moving their mortgage every few years.

Flexible explained

There are lots of different mortgages available, and understanding them can be confusing.


So to keep things simple, we've picked the most common types of mortgages to have a look at. The three videos on the right explain the key differences in a simple jargon-free way.