Borrowers choose deals in one week or less

Research from NatWest Mortgage Services shows many borrowers who took out a mortgage in the past five years spent a week or less comparing mortgage deals before deciding on the one they eventually took out.

Among the over-50s, nearly a third said they took no time at all to find exactly what they wanted, while 42% of 18 to 29 year olds spent between one and four weeks tracking down their ideal mortgage option.

Regarding the features of the mortgages themselves, of the people who arranged their current mortgage in the past five years, men favoured a low rate as the most important feature while women preferred the certainty of a fixed monthly payment.

When it comes to getting the mortgage paid off early, 27% of men compared with 20% of women feel an overpayment option is an important feature.

The research also found that with an increase in disposable income, just under a third of borrowers would buy a house or upgrade to a bigger house, while 23% would invest in a second home abroad.

A satisfied 21% of the nation seem to be happy where they live and would simply make improvements to their current property.

Charles Haresnape, director of NatWest Mortgages, says: “People are becoming much more astute when it comes to buying property and finding a mortgage, and a lot more demanding in bagging the right deal.

“They also want more flexibility from products. For couples looking for mortgage harmony, choosing a product such as an offset mortgage can fulfil the needs of their changing circumstances.

“This can afford home owners the flexibility to command an increased disposable income that they could potentially use to realise an aspiration such as a second home.”