Your mortgage explained
Buying a property can look daunting. Learn all about it with our step-by-step guide.
Get ready to look for properties
See how much you could borrow
Find out more about our rates, and how much we could lend to you.
Use our calculator
Get your finances in order
From saving a deposit, to ensuring your credit history's as detailed as it can be, it's important to check that you've got everything covered.Check if your finances are in order
Get a mortgage in principle
This is a document that states whether or not you're eligible for a mortgage. It also states how much we could lend you. And it’s extremely useful for showing the estate agent you’re serious about buying.
- No impact on your credit score
- It only takes 10 minutes online
- There’s no obligation to take out a mortgage with us
- Remember though - getting a mortgage in principle doesn’t guarantee you a mortgage offer. For that you need to go through a full mortgage application.
Get a mortgage in principleCheck our eligibility criteria
Make an offer on the property
When you have found the property you want, it's time to contact the estate agency and place your offer.
Sometimes you may need to negotiate the price with the sellers or compete with other potential buyers.
Always make sure you know the maximum you can afford before you decide how much to offer.See how much you can borrow
Congratulations, your offer on the property has been accepted!
It’s time to think about formally applying for a mortgage.
Apply for your mortgage
Gather your documents
When you apply for a mortgage, we’ll need some things from you to confirm your identity, circumstances and mortgage requirements.
You’ll also need a solicitor or a conveyancer to do all the legal work.Check which documents we’ll need from you
By phone or in branch, our dedicated Mortgage Team will help you complete your full mortgage application.
- Our Mortgage Team will be with you from start to finish, to explain what’s involved
- If the mortgage you’ve chosen has a product fee, you may need to pay them at this stage.
Your home may be repossessed if you do not keep up with repayments on your mortgage
How to apply
Your application’s complete!
Now we’ll assess your mortgage application, and keep you up to date on its progress.Check what happens behind the scenes
Behind the scenes
We check all the documents
Our team will start to process your application now. We might need confirmation of income from your employer, so we'll send out a form for them to fill in and return to us.
Instructing your valuation
We'll get a valuer to come out and check the property. They will check if the property is in a mortgageable condition and if it is at its expected value. If this is not the case we will let you know.
Once all the checks have been successfully completed, we'll send you a mortgage offer
Moving in is getting much closer now – and there are just a few more steps to take care of.
The solicitors exchange contracts
After you have your mortgage offer, your solicitor will work on the documentation.
Until contracts are exchanged, both you and the seller can pull out.
When contracts are exchanged, you're legally bound to buy, and the sellers are legally bound to sell.
Completion and move in
Congratulations, you're the owner of your new home, enjoy!
After you move in
Your first monthly repayment
Your first payment will be taken one calendar month after completion.
The next payment will be on the date of the month you specified during the application. This payment may be slightly higher due to the way we charge interest.
How to make overpayments
Overpayments are when you pay an extra amount into your mortgage, with the aim of reducing your interest in the long run or reducing your term time.
If you have a fixed rate mortgage, you can overpay by up to 10% of your outstanding mortgage balance each year. If you overpay more than 10% each year during your fixed term, however, you will incur an early repayment charge. Once your fixed term ends, you won't need to pay an early repayment charge.
Customers who have a tracker mortgage can make unlimited overpayments without incurring an early repayment charge.
Full details of early repayment charges are provided with product information available on our rates pages.
Documents or information you'll need to apply:
When you apply for a mortgage, we’ll need some things from you, such as:
- Details of your names and addresses for the last 3 years
- Details of your current income
- Details about the property
Costs related to the mortgage
You will likely need a deposit that'll be a minimum of 10% of the new property price.
Our product fee
For certain mortgage products, there'll be a product fee to pay. This is usually in return for a lower interest rate and can either be paid upfront or added to your loan.
Our valuation fee
This covers the valuation that we'll require to ensure that your property is adequate security for our loan to you.
Legal / conveyancing fees
To purchase a property you will need to appoint a solicitor or conveyancer to act on your behalf. They either charge you a flat fee, or a percentage of the value of the property.
Look at The Law Society's website to find a suitable solicitor. When you are ready to select a solicitor we can help, we also have a recommended panel of solicitors to handle the legal side of purchasing your first home.
This is charged on residential properties over a certain value. It all depends on particular price brackets – but you’ll only pay the duty you need on the amount over the threshold.
Stamp duty calculator
Make sure you consider other costs such as building insurance, removal costs or buying new furniture and redecorating.
See if our FAQs can give you the answer.
General information for regulated mortgagesDownload General information for regulated mortgages PDF (210KB)
The Co-operative Bank reserves the right to change or withdraw any of its mortgage deals at any time. All loans are subject to status and valuation.