When you’re searching for a new mortgage, it can feel like you’re faced with an overwhelming number of options. Clarifying what you need from a mortgage could help you narrow them down so you’re able to compare deals that are right for you.

Here are five useful questions to think about before searching for a mortgage or to talk to your mortgage adviser about.

1. How much do you want to borrow?

Before you start looking through deals, set out exactly how much you want to borrow, as this could affect which lenders are likely to approve your application.

If you have an existing mortgage, start by checking the outstanding balance. Then, decide if you want to increase or decrease the amount.

If you have the money to pay off a lump sum when your mortgage deal ends, you could the regular repayments or potentially become mortgage-free sooner. 

You may have the option to borrow more money through your mortgage, which you could use to cover expenses such as home improvements. Keep in mind that borrowing more against your home would mean higher repayments or a longer mortgage term.

You might want to consider whether a mortgage is the best lending option for your needs.

2. Do you want a repayment or an interest-only mortgage?

Most people using a mortgage to purchase their home opt for a repayment mortgage. This means each month, your repayment is used to pay the accrued interest and a portion of the outstanding balance. Assuming you keep up with repayments, you’ll own your home outright at the end of the mortgage term.

With an interest-only mortgage, you don’t reduce the outstanding balance. As a result, the repayments will be lower, but you’ll still owe the amount you borrowed at the end of the term.

3. How long do you want to repay the mortgage over?

If you have an existing mortgage, you’ll have set a mortgage term when you took it out. However, you can still review and adjust this if you’d like to.

The mortgage term refers to how long you’ll take to repay the loan. If you make the mortgage term longer, your monthly repayments will fall, but the total cost of borrowing would be higher. 

In contrast, if you can afford to, you might want to shorten the mortgage term so you can be mortgage-free sooner and pay less interest.

4. Would you prefer a fixed- or variable-rate mortgage?

With a fixed-rate mortgage, the interest rate you pay will remain the same for a defined period of time, usually two, three, or five years. This may be a good option if you prefer to know exactly how much your outgoings will be each month.

The interest rate you pay with a variable-rate mortgage can rise or fall, which would affect your repayments. So, if interest rates fell, you’d benefit from a lower repayments, but you also need to consider how rising interest rates could affect your budget.

5. Do you plan to make overpayments?

When you make an overpayment, it reduces the outstanding mortgage balance. It could help you become mortgage-free sooner and reduce how much interest you pay over the long term.

Usually, you can only repay 10% of the outstanding balance each year before you must pay an early repayment charge. So, if you plan to overpay more than this, checking if the ability to overpay is a feature of your mortgage could be valuable and save you money.

We can help you clarify your mortgage needs

As your mortgage adviser, we can work with you to understand what type of mortgage will suit your needs best, and then identify the lenders that are right for you. Please contact us to arrange a meeting.

Please note:

This blog is for general information only and does not constitute financial advice, which should be based on your individual circumstances. The information is aimed at retail clients only.

Your home may be repossessed if you do not keep up repayments on a mortgage or other loans secured on it.

Approver Quilter Financial Services Limited & Quilter Financial Limited. 17/11/2025