Explore mortgage types with more clarity.
Mortgages are not one-size-fits-all. From fixed-rate and tracker mortgages to discount, interest-only and buy-to-let options, each type can have different features, costs and considerations.
The right mortgage depends on your circumstances.
Different mortgage products are designed for different borrowing needs. The interest rate, repayment structure, flexibility and eligibility criteria can vary between products and lenders.
Understanding the main mortgage types can help you ask better questions and compare options based on the features that matter to you.
Explore the mortgage types you may come across.
Each mortgage type has different features and considerations. Explore the dedicated guides below to understand how each option works.
Fixed-Rate Mortgage
Understand mortgages where the interest rate remains fixed for an agreed period and how this can provide repayment certainty.
Tracker Mortgage
Learn how tracker mortgages can follow an external interest-rate benchmark and how changes can affect your mortgage payments.
Variable-Rate Mortgage
Understand mortgages where the interest rate can change and why changing rates may affect your monthly repayment.
Discount Mortgage
Discover how discount mortgage rates work and why the initial rate, discount period and future rate should all be considered.
Interest-Only Mortgage
Learn how interest-only mortgage payments differ from repayment mortgages and what happens to the borrowed capital during the term.
First-Time Buyer Mortgage
Understand mortgage considerations for first-time buyers, including deposits, affordability and the wider cost of purchasing a home.
Buy-to-Let Mortgage
Learn how buy-to-let mortgages differ from residential mortgages and the key factors property investors may need to consider.
Remortgage
Understand what remortgaging means, why homeowners may consider changing mortgage products and which costs can be relevant.
Mortgage Guide
Go back to the complete mortgage guide covering affordability, deposits, mortgage costs, interest rates and the home-buying journey.
First-Time Buyer Mortgages
Buying your first home can involve different considerations around deposits, affordability, mortgage rates and additional purchase costs. Explore the dedicated guide for a clearer overview.
View First-Time Buyer Guide →Buy-to-Let Mortgages
Buy-to-let borrowing is designed around property intended for rental rather than a main residential home. Explore the mortgage structure, costs and important considerations before investing.
View Buy-to-Let Guide →How the main mortgage types differ.
This high-level comparison is a starting point. Always check the exact terms and eligibility requirements of an individual mortgage product.
| Mortgage type | Rate structure | Potential benefit | Key consideration |
|---|---|---|---|
| Fixed Rate | Fixed for an agreed period | Greater payment certainty | Rate may change after the fixed period |
| Tracker | Linked to a benchmark | Can benefit when rates fall | Payments can rise when rates increase |
| Variable Rate | Can change according to terms | Potential flexibility | Future payments may be less predictable |
| Discount | Discount applied to a variable rate | Potentially lower initial rate | Rate and discount period need careful review |
| Interest Only | Payments primarily cover interest | Potentially lower regular payment | Capital needs a repayment strategy |
| Buy-to-Let | Specialist mortgage structure | Designed for rental property | Different eligibility considerations |
Don't choose a mortgage based on the headline rate alone.
A mortgage with a lower initial rate is not automatically the best option for every borrower. Consider how the rate works, how long it applies, the fees involved and what could happen when the initial period ends.
Useful mortgage resources.
Continue with the existing GrowthSmartly mortgage resources to understand the wider home-buying process.
Mortgage Guide
Learn how mortgages work, including deposits, affordability, interest rates, repayment terms and wider buying costs.
Read Mortgage Guide → CALCULATORMortgage Calculator
Estimate mortgage repayments using the borrowing amount, interest rate and mortgage term.
Calculate Mortgage Payments → CREDITCredit Score
Understand credit scores and factors that can form part of your wider credit profile.
Explore Credit Score → CREDITCredit Reports
Learn what a credit report can contain and why reviewing your information can be useful.
Explore Credit Reports → CALCULATORLoan Interest Calculator
Understand how borrowing rates and repayment terms can influence total interest costs.
Calculate Loan Interest → GUIDESInvestment Guides
Explore practical financial guides covering different aspects of money and long-term planning.
Explore Investment Guides →
Mortgage Types FAQs
Answers to common questions about fixed, variable, tracker, discount and other mortgage types.
Find the mortgage information you need next.
Explore individual mortgage types, understand the key differences and use the wider GrowthSmartly mortgage resources to support your research.