Size doesn’t matter….. when it comes to choosing the best mortgage
70% of the top 250 mortgages available today are offered by building societies, research from Moneyfacts.co.uk reveals.
A survey carried out by Moneyfacts.co.uk covering the whole mortgage market, including fixed, discounted and variable rates over various time periods has shown that those looking for a mortgage today may well be better off going to a building society than to one of the larger banks or mortgage lenders.
The top ten lenders, according to the Council of Mortgage Lenders (CML) only offer 27 of those 250 top deals, a mere 11%.
Julia Harris, Mortgage Expert at Moneyfacts.co.uk – the leading independent financial comparison site, comments:
“It is shocking to see that so few of the top priced mortgage deals are offered by the largest mortgage lenders. The Royal Bank of Scotland Group under the brands of First Active and Direct Line lead the way offering a meagre six out of the top 250 deals, and very disappointingly the largest lender the HBOS group, did not appear at all.
“Despite the vast amount of information in the public domain and the still prominent role of the financial adviser, brand and high street values still seem to be winning customers.
“While some deals offered by these providers may offer the best solution to an individual customers needs, the findings show that, for the majority of borrowers, the deals from building societies and smaller lenders are winning hands down.
“Making one of your biggest financial decisions should not be based upon brand or the perceived convenience of your existing lender. It should be about finding the most competitive and suitable deal.
“Take the time to shop around, and don’t assume that bigger means better. In fact when choosing a mortgage quite the opposite is true, both with building societies dominating the field and the lack of large lenders appearing in the top 250 products.”
Notes to editors:
At Moneyfacts.co.uk every bank and building society is treated in the same way and our best buy charts are selected purely on the merits of the products. Moneyfacts.co.uk receives its revenue entirely from advertising, and we receive no payment from the bank or building society for inclusion within our charts.
Survey based on true cost figures, for an average remortgage and first time buyer scenario. Rates included fixed (2,3,5 years), discounted (2,3,5 years) and variable for term.
Moneyfacts Group
Moneyfacts is the UK’s leading independent provider of personal financial information and our data is used and trusted throughout the financial industry.
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