How do 80% LTV mortgages work?
You can apply for an 80% loan to value mortgage if you have a 20% deposit or 20% equity in your property.
If you rent your property out, you can compare 80% LTV buy to let mortgages here.
To find the best 80% mortgage deal:
Look for the lowest initial rate: This affects how much you pay back each month. The higher the rate, the more interest you pay.
Look out for charges: You may have to pay a charge for setting up a new mortgage deal. This comparison shows you which charges apply to each deal.
What mortgage options do you have?
If you have a 20% deposit or 20% equity, you can apply for any mortgage deal that is 80% LTV or higher.
This means you have a larger selection of mortgage deals to compare, which gives you a better chance of finding the lowest rate available.
You can usually find lower initial rates for lower LTV mortgage deals, but the rate you get may change depending on the mortgage type you choose.
Here is how tracker, variable and fixed rate mortgages work
What happens when the deal ends?
When your mortgage deal ends, you will have a few options:
Automatically move to your lender's standard variable rate (SVR)
Apply for a new mortgage deal with the same lender
Apply for a new mortgage deal with another lender
If you try to change your mortgage deal before it ends, you could face large charges, for example, 2% of your mortgage balance.
Should you get a long or short term mortgage?