UK Mortgage Rate Comparison Calculator
Compare up to three UK mortgage deals including arrangement fees, tracker vs fixed, and the revert-to-SVR cost. Find the cheapest true cost deal, see fixed vs tracker analysis, and plan your 2-year vs 5-year strategy. All figures in GBP.
£
yrs
yrs
%
Your Mortgage Deals (compare up to 3)
%
yrs
£
%
£
Monthly (During Deal)
£1,346
Monthly (On SVR)
£1,846
True Cost (5 yrs)
£100,053
Effective Rate
6.17%
Weighted avg over comparison period
Cheapest
%
yrs
£
%
£
Monthly (During Deal)
£1,382
Monthly (On SVR)
£1,807
True Cost (5 yrs)
£82,950
Effective Rate
4.45%
Weighted avg over comparison period
%
yrs
£
%
£
Monthly (During Deal)
£1,402
Monthly (On SVR)
£1,846
True Cost (5 yrs)
£101,357
Effective Rate
6.33%
Weighted avg over comparison period
Best Deal Over 5 Years
Lender B — 4.5% fixed
True cost £82,950 — saves £18,407 vs most expensive
Advanced
True Cost Analysis
Low rate vs high fees, fixed vs tracker, and the cost of reverting to SVR
A low initial rate with a high arrangement fee can be more expensive than a slightly higher rate with no fee. This shows the true cost breakdown for each deal.
| Deal | Rate | Payments During Deal | Upfront Fees (net) | SVR Payments After | Total True Cost |
|---|---|---|---|---|---|
| Lender A | 4.2% | £32,303 | £1,299 | £66,451 | £100,053 |
| Lender B (best) | 4.5% | £82,950 | £0 | £0 | £82,950 |
| Lender C | 4.6% | £33,657 | £1,249 | £66,451 | £101,357 |
Tip: For short hold periods, a fee-free deal at a slightly higher rate is often cheaper. For longer hold periods, paying a large arrangement fee is worth it for a lower rate. The break-even hold period between paying a fee vs no-fee deal is approximately 28 months.
Pro
Strategy & Optimisation
2yr vs 5yr strategy, portability analysis, and cashback deal comparison
£
2-Year Fix then Remortgage
Total cost over 5 years:
£89,355
- Review and remortgage every 2 years
- Benefit if rates fall (lock in lower rate sooner)
- Remortgage cost: £1,000 at year 2 and year 4
- More admin — 2–3 remortgage applications over 5 years
5-Year Fix (Set and Forget)
Total cost over 5 years:
£82,950
- Payment locked for 5 years — budget certainty
- One remortgage at end — less hassle
- ERC if you need to exit early (2–5%)
With rates stable, the 5-year fix is likely the better strategy. Difference: £6,406 over 5 years.
How to Use This UK Mortgage Rate Comparison Calculator
Enter your mortgage balance and term, then fill in up to three mortgage deals — including the initial rate, deal type (fixed or tracker), deal period, arrangement fees, and the lender's revert rate (SVR). The calculator shows the true 5-year cost of each deal including what you pay after the deal ends on the lender's SVR.
What Makes a Good UK Mortgage Deal?
- True cost comparison: A low rate with high fees can cost more than a higher rate with no fees — always compare total cost
- Revert rate: Most deals revert to the lender's SVR (typically 7–8%) after the initial period — this is often the biggest cost
- Portability: Can you take the deal with you if you move? Fixed rates typically carry an Early Repayment Charge (ERC)
- Cashback: Some deals offer £500–£1,500 at completion — this reduces effective cost but is not always the cheapest overall
UK Mortgage Deal Types Explained
Fixed Rate: Rate guaranteed for deal period (2yr, 3yr, 5yr, 10yr)
- ERC applies if you exit during fixed period
- Usually portable to a new property
Tracker Rate: Base Rate + a margin (e.g. BoE + 1.49%)
- Moves up or down with BoE base rate decisions
- Usually no ERC — flexible exit
Discount Rate: SVR minus a fixed discount
- Moves when lender changes their SVR
- Less common than fixed or tracker
SVR (Standard Variable Rate):
- Default rate after deal ends
- Set by lender, typically 4–6% above initial deal rate
- No ERC — can remortgage anytime
- ERC applies if you exit during fixed period
- Usually portable to a new property
Tracker Rate: Base Rate + a margin (e.g. BoE + 1.49%)
- Moves up or down with BoE base rate decisions
- Usually no ERC — flexible exit
Discount Rate: SVR minus a fixed discount
- Moves when lender changes their SVR
- Less common than fixed or tracker
SVR (Standard Variable Rate):
- Default rate after deal ends
- Set by lender, typically 4–6% above initial deal rate
- No ERC — can remortgage anytime
The True Cost Calculation
The UK mortgage market uses APRC (Annual Percentage Rate of Charge) for legal disclosure, but this can be misleading because it assumes you stay on the SVR for the full term. Our true cost calculation compares deals over a realistic hold period (typically 5 years) and includes:
- Monthly payments during the initial deal period
- Arrangement fee (paid upfront or added to the loan)
- Valuation and legal fees (some deals include these free)
- Cashback (reduces effective cost)
- Payments at SVR for any months beyond the deal period in the comparison window
Example: Low Rate vs Fee-Free Comparison
£250,000 mortgage, 25-year term, compared over 2 years
| Deal A | Deal B | |
|---|---|---|
| Initial rate | 4.19% | 4.45% |
| Arrangement fee | £999 | £0 |
| Monthly payment | £1,347 | £1,379 |
| Total payments (2yr) | £32,328 | £33,096 |
| Plus arrangement fee | £999 | £0 |
| True 2-year cost | £33,327 | £33,096 |
| Winner | Deal B — lower true cost despite higher rate | |
Deal A's arrangement fee wipes out the lower rate savings in under 2 years. For a 5-year fix, Deal A would win — the break-even point is approximately 31 months.
Frequently Asked Questions
The choice depends on your rate outlook and lifestyle plans. A 2-year fix is better if you expect rates to fall significantly (you can lock in a lower rate sooner) or if you might move house (avoiding ERC). A 5-year fix is better if you want payment certainty, rates are expected to rise, or you do not want the hassle of remortgaging every 2 years. Historically, the total cost has been similar over a 10-year period regardless of which you choose.
An ERC is a penalty for repaying your mortgage (or switching to another deal) before the end of your fixed period. It is typically 1–5% of the outstanding mortgage balance, with the percentage reducing each year. On a £250,000 mortgage with a 2% ERC, that is £5,000. Most tracker mortgages do not carry ERCs, which is their key advantage over fixed rates for flexibility.
When your deal ends, your mortgage automatically transfers to your lender's Standard Variable Rate (SVR). SVRs are typically 7–8% at 2024 rates — far higher than deal rates. On a £250,000 mortgage, the jump from 4.2% to 7.5% SVR costs approximately £450 more per month. You should remortgage to a new deal before your current deal expires. Most lenders let you lock in a new rate up to 6 months ahead.
Most UK fixed-rate mortgages allow porting — transferring your existing deal to a new property when you move. You must apply to the same lender and pass their current affordability criteria. If you are buying a more expensive property, the additional borrowing is usually at the lender's current rate. Porting avoids the ERC and allows you to keep a good rate if yours is below current market rates. Not all lenders allow porting, so check your mortgage offer document.
Arrangement fees (also called product fees) range from £0 to £1,999. You can pay upfront or add them to the mortgage. Adding them to the loan means you pay interest on the fee for the entire mortgage term — a £999 fee added to a 25-year mortgage at 4.5% adds approximately £1,400 in total interest. Pay fees upfront where possible unless you are genuinely cash-constrained at completion.