Compare Discounted Mortgages

Compare the best discount mortgages available and find the cheapest discount mortgage rates for your home or business in minutes. We list discounted mortgage deals from leading UK mortgage providers so you can be confident that you'll get the best rate possible.
 CompanyMortgage TypeInitial RateFinal RateAPRMax LTV 
 
 APREnd Date    
 Promoted Results
ING DirectING Direct 2yr 0.90% Discount R/M LTV 70%Discounted2.60%30 Nov
2012
3.5%3.5%70%ING Direct 2yr 0.90% Discount R/M LTV 70%
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Available for remortgage only.
ING DirectING Direct 2yr 0.90% Discount H/P LTV 70%Discounted2.60%30 Nov
2012
3.5%3.5%70%ING Direct 2yr 0.90% Discount H/P LTV 70%
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 Full Results
HSBCHSBC 2yr 1.75% Disc LTV 70% Special DirectDiscounted2.19%24months3.94%3.8%70%HSBC 2yr 1.75% Disc LTV 70% Special Direct
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Saffron Building SocietySaffron Building Society 2yr 3.14% Disc LTV 75% DirectDiscounted2.25%24months5.39%5.2%75%Saffron Building Society 2yr 3.14% Disc LTV 75% Direct
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Clydesdale BankClydesdale Bank 2yr 2.00% Discount Offset LTV 65% DirectDiscounted2.59%30 Nov
2012
4.59%4.5%65%Clydesdale Bank 2yr 2.00% Discount Offset LTV 65% Direct
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Yorkshire BankYorkshire Bank 2yr 2.00% Discount Offset LTV 65% DirectDiscounted2.59%30 Sep
2012
4.59%4.5%65%Yorkshire Bank 2yr 2.00% Discount Offset LTV 65% Direct
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ING DirectING Direct 2yr 0.90% Discount R/M LTV 70%Discounted2.60%30 Nov
2012
3.5%3.5%70%ING Direct 2yr 0.90% Discount R/M LTV 70%
Proceed
 
Available for remortgage only.
ING DirectING Direct 2yr 0.90% Discount H/P LTV 70%Discounted2.60%30 Nov
2012
3.5%3.5%70%ING Direct 2yr 0.90% Discount H/P LTV 70%
Proceed
Progressive Building SocietyProgressive Building Society 2yr 2.10% Discount H/P LTV 70%Discounted2.65%24months4.75%4.7%70%Progressive Building Society 2yr 2.10% Discount H/P LTV 70%
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Earl ShiltonEarl Shilton 2yr 2.27% Discount LTV 75%Discounted2.68%24months4.95%4.8%75%Earl Shilton 2yr 2.27% Discount LTV 75%
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Monmouthshire Building SocietyMonmouthshire Building Society 2yr 2.30% Discount H/P LTV 75%Discounted2.69%24months4.99%4.8%75%Monmouthshire Building Society 2yr 2.30% Discount H/P LTV 75%
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Monmouthshire Building SocietyMonmouthshire Building Society 2yr 2.30% Discount R/M LTV 75%Discounted2.69%24months4.99%4.8%75%Monmouthshire Building Society 2yr 2.30% Discount R/M LTV 75%
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Available for remortgage only.
Hanley Economic Building SocietyHanley Economic Building Society 2 Year 2.49% Discount LTV 80% DirectDiscounted2.70%30 Nov
2012
4.19%4.2%80%Hanley Economic Building Society 2 Year 2.49% Discount LTV 80% Direct
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BeverleyBeverley Flexi 3yr 2.00% Discount Offset LTV 75%Discounted2.75%36months4.75%4.4%75%Beverley Flexi 3yr 2.00% Discount Offset LTV 75%
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Melton MowbrayMelton Mowbray 2yr 2.24% Discount Offset LTV 75%Discounted2.75%30 Sep
2012
4.99%4.7%75%Melton Mowbray 2yr 2.24% Discount Offset LTV 75%
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Newbury Building SocietyNewbury Building Society 2yr 1.66% Discount H/P LTV 75%Discounted2.79%24months4.45%4.3%75%Newbury Building Society 2yr 1.66% Discount H/P LTV 75%
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Holmesdale Building SocietyHolmesdale Building Society 2 Year 2.00% Disc LTV 75%Discounted2.89%24months4.89%4.7%75%Holmesdale Building Society 2 Year 2.00% Disc LTV 75%
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Norwich & Peterborough Building SocietyNorwich & Peterborough Building Society 3 Year 2.40% Disc LTV 80% DirectDiscounted2.95%36months5.35%4.9%80%Norwich & Peterborough Building Society 3 Year 2.40% Disc LTV 80% Direct
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Hanley Economic Building SocietyHanley Economic Building Society 2 Year 2.24% Discount LTV 75% DirectDiscounted2.95%24months5.19%5.1%75%Hanley Economic Building Society 2 Year 2.24% Discount LTV 75% Direct
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Market Harborough Building SocietyMarket Harborough Building Society 2yr 2.54% Discount LTV 75% Direct OnlyDiscounted2.95%24months5.49%5.2%75%Market Harborough Building Society 2yr 2.54% Discount LTV 75% Direct Only
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Progressive Building SocietyProgressive Building Society 2yr 1.76% Discount R/M LTV 70%Discounted2.99%24months4.75%4.7%70%Progressive Building Society 2yr 1.76% Discount R/M LTV 70%
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Available for remortgage only.
Ulster BankUlster Bank 2yr 1.01% Disc H/P LTV 75%Discounted2.99%30 Jun
2012
4%3.9%75%Ulster Bank 2yr 1.01% Disc H/P LTV 75%
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Discounted Mortgage Guide

How you can get a better deal with a discounted mortgage deal.

A discount mortgage has an interest rate where a discount is applied to the lender's standard variable rate for a set period, usually from six months to several years. As the lender's standard variable rate moves up and down, so the discounted rate moves up and down by the same amount, with the differential between the two remaining the same.

Advantages

  • You can benefit from a lower interest rate in the first few years, freeing up money for furnishings, carpets or whatever else you want.
  • You can benefit from a fall in the Bank of England's base rate when it results in a subsequent fall in the lender's standard variable rate.

Disadvantages

  • Early redemption penalties will almost certainly apply, which may also extend beyond the end of the discounted period. This means you will be unable to change your mortgage during the 'early redemption penalty period' without paying a fee, which may be up to the value of six months mortgage repayments. So, you may be trapped in an uncompetitive rate once the interest rate reverts to the lender's standard variable rate.
  •  
  • You will normally have to pay an application fee when arranging your discount mortgage.
  • At the end of the discounted period your mortgage payments will suddenly increase as the mortgage reverts to the lender's standard variable rate.

NB This information is provided to give you an overview of the different types of mortgages available. It is not comprehensive and you should not base your mortgage decision on the information found here. We recommend you seek professional advice in order to determine the most suitable mortgage for you.