Tracker mortgage

A tracker mortgage or (tracker rate mortgage) is a variable rate mortgage that will track the Bank of England base rate at a set amount above or below for a fixed period.

Therefore, for the agreed 'tracker' period the monthly payment on the tracker mortgage will vary in line with any changes in the base rate.  Put simply, if the base rate goes up, your payments will rise and if it falls then so will your payments.  The different between your tracker rate and the base rate during the fixed period will not vary.

A tracker mortgage is useful if you want to be able to benefit from falling interest rates but you must be certain that you can afford any increases as well.

At the end of the fixed 'tracker' period your payments will normally revert to the lender's standard variable rate (SVR) or to a higher margin above the base rate.

Select from the list below to find out more about the different types of mortgages or call us for a no obligation chat on 0844 346 3672.

John Charcol is not authorised to offer investment advice.  We recommend you seek professional advice with regard to these topics if you believe they may affect you.

Terms & conditions

Your initial mortgage consultation is obligation free. There will be a minimum fee for our mortgage service of £450, of which £150 is payable when you apply, and we will retain the commission from the mortgage lender. Alternatively, you can choose the fee only option which is typically 0.65% of the amount borrowed. The precise amount will depend on your circumstances and mortgage loan amount, and will be discussed and agreed before you make a mortgage application.

YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY DEBT SECURED ON IT

Legals

John Charcol is a trading style of Towergate Financial (West) Ltd, which is authorised and regulated by the Financial Conduct Authority; our registration number is 147692. John Charcol Associates LLP is an appointed representative of Towergate Financial (West) Ltd, which is authorised and regulated by the Financial Conduct Authority.  Registered office: Towergate House, Eclipse Park, Sittingbourne Road, Maidstone, Kent ME14 3EN. Registered in England No: 02292688.  This mortgage site is only directed at persons within the UK.   The FCA does not regulate some investment mortgage contracts.  Calls may be recorded for training and monitoring. Max call charge from a BT landline is 3.9p per minute. Calls from other networks may vary.