How to Avoid the 5 Most Common UK Mortgage Mistakes
- Editorial Staff
- 8 hours ago
- 4 min read
29th October 2025
How to Avoid the 5 Most Common UK Mortgage Mistakes
If you're looking at a mortgage in the UK—whether you're buying for the first time, remortgaging, or moving to a new home—there are several repeat errors borrowers often make when choosing a deal. Spotting and avoiding these pitfalls early on can save time, stress and potentially thousands in extra costs.
Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.
Here are five frequent mistakes UK borrowers make – and how you can steer clear of them.
1. Failing to get a proper mortgage-in-principle (MIP) or being under-prepared
Before you start shopping for properties, many borrowers skip getting a formal “agreement” that a lender is broadly willing to lend. That means you may view houses you can’t realistically buy, or worse, offer on a property you can’t finance. (Source: Restless)
How to avoid it:
Request a MIP or decision-in-principle from your lender or adviser so you know how much you can borrow.
Only view properties within that budget to avoid disappointment or wasted time.
Have your income, savings, credit and outgoings in order ahead of applying.
2. Overextending your budget / ignoring all the additional costs
Borrowers often focus only on monthly mortgage payments or the deposit, and overlook extra costs or what happens if rates rise. Additional costs include valuation fees, legal fees, stamp duty, maintenance, and the possibility of higher future rates.
How to avoid it:
Draw up a realistic budget including deposit, fees, and future costs.
Build in a buffer for possible rate increases or unexpected expenses.
Compare what you’ll actually pay, not just the headline rate.
3. Not checking or improving your credit score and financial history
Your credit history and visible financial behaviour are key to getting a good mortgage deal. Mistakes like late payments, debt issues or not checking your credit report can hurt your chances or push you into a worse deal.
How to avoid it:
Check your credit report (e.g., via Experian, Equifax) and look for any errors.
Address any outstanding debts or issues well ahead of applying.
Avoid major new credit commitments (loans, large purchases) just before or during your mortgage application.
4. Accepting the first deal you find and not shopping around
Just taking the first mortgage offer or staying with your existing lender by default can mean missing a better fit for your situation. According to UK commentary, not comparing deals is a common mistake.
How to avoid it:
Use a qualified mortgage adviser (like those at Mortgage One) who can compare multiple lender deals.
Look beyond just the interest rate—consider fees, flexibilities (such as over-payments), break costs and future plans.
Revisit your deal if your circumstances change or market conditions shift.
5. Choosing a deal without fully understanding its terms or future risks
Some borrowers commit to a mortgage without fully grasping key features (e.g., whether it’s fixed or variable, what happens at term end, early-repayment charges) or the implications if their situation changes.
How to avoid it:
Ask your adviser to explain the deal’s features and what could change (e.g., rates, payment amounts, exit costs).
Think ahead: can you afford higher payments if rates rise? Do you plan to move or remortgage?
Ensure you choose a structure (fixed term, tracker, interest-only or repayment) that fits your broader plans.
Key Numbers
Acting too late or letting your current deal expire can lead to much higher rates.
Checking your credit and getting a decision in principle early is consistently advised across UK mortgage guides.
As at 25 October 2025 London
If you’d like to understand what today’s mortgage-market moves could mean for you, speak to Mortgage One. We’ll help you explore your options with a qualified mortgage adviser who looks at your full situation and times it based on your goals.
Information only – not advice. Your home may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.
FAQs
Q1: What should I do first when I start looking for a mortgage?Start by checking your credit score, understanding your budget (including all costs), and obtaining a mortgage decision in principle. That puts you in a stronger position.
Q2: Why are additional costs so important when choosing a mortgage deal?Because beyond the deposit and monthly payments, there are other fees (solicitor, valuation, stamp duty) and future risks (rate rises, payment rises) that can significantly affect affordability.
Q3: Can I get a good mortgage deal without a large deposit?Yes, some deals allow smaller deposits, but a higher deposit usually leads to better terms and more lender choice. It’s important to understand all the costs and suitability for your situation.
Q4: How can a qualified mortgage adviser help me avoid mistakes?An adviser at Mortgage One can compare deals from multiple lenders, explain key terms clearly, check your eligibility and timing, and help you avoid the common pitfalls listed above.
Q5: If I’m remortgaging, are the mistakes the same?Many are similar (budgeting, checking options, understanding terms), but there are remortgage-specific issues too – for example, acting too late, accepting just a product transfer without comparing, or applying after degrading your credit profile.
Mortgage One: Expert Mortgage Brokers
For a Free Initial Consultation, call 01202 155992 or contact us here.www.mortgageonefinance.co.uk
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