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Sam covers personal finance topics, from the best savings rates to the reasons mortgage lenders say no. He enjoys crunching the numbers to help consumers get ahead.
First-time buyers could find cheaper mortgages by looking beyond the biggest banks.
Our monthly checks of the mortgage market have found that smaller building societies regularly offer some of the cheapest deals for people buying their first home. In contrast, the biggest lenders dominate the home mover and remortgage markets.
Here, Which? explains why it's worth looking beyond the biggest banks, how your postcode could unlock a lower rate and the key factors to consider before choosing a mortgage.
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In our latest analysis, Beverley Building Society was among the lenders offering the cheapest deals for first time buyers.
It was joined at the top of the table with Leeds Building Society, the UK's tenth-largest lender according to UK Finance, as well as Lloyds Bank and Virgin Money.
In contrast, major providers typically dominate the best deals for those remortgaging. For example, Nationwide Building Society and Santander have been among the cheapest lenders for remortgaging over the past three months. Nationwide Building Society is also our only Which? Recommended Provider for mortgages.
We see a similar pattern for home movers, where Lloyds Bank and Nationwide Building Society have been among the cheapest lenders over the past three months.
Several smaller building societies regularly feature among the cheapest first-time buyer mortgage deals.
West Brom Building Society is one of the standout examples. When we checked on 23 July, it had the cheapest deals for some loan-to-value ratios for two-year and three-year fixed-rates. It has also regularly offered some of the cheapest 5% and 10% deposit mortgages, both when comparing the lowest rates overall and the lowest rates with no fee.
Another smaller provider that we see in the first-time buyer best rate tables is Newcastle Building Society. The lender offers a very strong 5% deposit mortgage with a five-year fixed rate.
These examples show why it's worth looking beyond the biggest banks when comparing mortgages. Restricting your search to household names could mean missing out on a cheaper deal.
If you live in the right area, you may be able to access cheaper mortgage deals simply because of your postcode. Beverley Building Society offers better deals if you live within 50 miles of the Yorkshire town.
These rates can be very competitive. It offers the market-leading rate for a two-year fix for first-time buyers with a 5% deposit.
Similarly, Furness Building Society, which has operated in the North West for more than 150 years, offers lower rates to 'local postcodes'. These deals are typically aimed at first-time buyers with smaller deposits. Our latest checks found that other lenders currently offer cheaper deals than its 'local postcodes' mortgages.
Mortgage deals reserved for locals are quite uncommon, and even if you do qualify for one, it's not always going to be your best option. But they show why it's worth looking beyond the biggest lenders when searching for your first mortgage. Restricting your search to household names could mean missing out on a better deal.
When choosing a mortgage, it's important to consider the entire deal, rather than just the headline rate.
Some lenders add chunky fees to their 'cheapest' deals. These can be as much as £2,000. Once these are accounted for, the overall cost can be more than a deal with a slightly higher rate.
Using a mortgage broker can be a good way to ensure you're getting the best-possible deal, as they can compare products from almost all lenders to find you the most suitable one.
If you're a first-time buyer, shopping around is vital, but if you're remortgaging, it's still worth checking how competitive your current lender's renewal offer is.
Your current provider already knows your financial history and repayment habits, while a new lender will need to conduct a full affordability check before approving your mortgage.
Which? is here to help, whether you're researching how much you need for a deposit or have already started viewing properties.
Our guides on the main types of mortgages and how much you can borrow can help you to get your head around the basics of home loans.
If you are at the stage of looking for a mortgage deal, see our best mortgage rates page, which is updated every day with the latest data.
Also check out who comes top in our table of the best mortgage lenders before choosing a deal. We have lender review pages for more than 20 lenders, with feedback from real customers.
