mortgages

whether you choose a life tracker or offset Mortgage, you'll enjoy truly outstanding levels of customer service - whenever you need us.

flexible

Whether you choose an offset Mortgage or a life tracker mortgage, you can make unlimited overpayments, no matter how big or small, at any time, which can help to repay your mortgage early.

offsetting

With an offset Mortgage, you can link your 1st Account balances and day-to-day savings balances to your mortgage (excluding the e-Saver Account and the Regular Saver Account) - then you only pay interest on the difference. For example, if your outstanding mortgage value was £100,000 and you linked a savings account to this, which had a balance of £10,000, you would only pay interest on your mortgage of £90,000.

Because you will be using your other 1st Account and day-to-day savings account balances to reduce the amount you owe on your mortgage, and not earning credit interest, there's no tax to pay. Find out which accounts can be linked to an offset Mortgage.

You could also redraw capital at any time, up to your agreed limit, which can be up to 80% of the value of your property. This will increase your interest payments and could increase the time it takes to pay off your mortgage. Any borrowing linked to your offset Mortgage, will be secured against your property.

Think carefully before securing other debts against your home. Your home may be repossessed if you do not keep up repayments on your mortgage.

portable

If you move house, then the mortgage rate you enjoy with your first direct mortgage will also move with you - with no mortgage transfer fee to pay. (Many mortgage providers will charge for this).

value

At first direct we always strive to bring you some of the most competitive mortgage rates around, whether you choose a variable or fixed rate. In addition, if you choose an offset Mortgage and link your day-to-day savings account balances, (because you don't earn credit interest and therefore don't pay tax on your savings), a standard rate taxpayer will benefit from the equivalent of 7.76% AER (10.47% AER if you're a higher rate tax payer) (based on a variable rate offset Mortgage - currently 6.17%).

control

With all of our mortgages, you are free to choose a monthly repayment date to suit your needs. And with a first direct offset Mortgage you can link as many eligible first direct 1st Accounts and day-to-day savings accounts as you wish. If you move the monthly dates of your standing orders and direct debits that debit a linked 1st Account, to leave the money in your account as long as possible, you'll have a greater balance to offset against your mortgage - also helping to reduce the amount you owe, so you pay less interest.

fixed payments

With a first direct offset Mortgage, you can choose a fixed interest rate. See our latest mortgage offers. A fixed rate gives you the security of knowing what you'll be paying over the fixed rate period. However, remember if rates fall, you could pay more on a fixed rate mortgage than you would on a variable rate mortgage.

If you close your fixed rate offset Mortgage during the fixed rate period, there is an early repayment charge. A fixed rate booking fee also applies. See our latest mortgage offers for details.

adaptable

Whilst our offset Mortgage is interest only, our customers have the option to repay their mortgage as they would on a traditional capital repayment mortgage basis by making regular monthly overpayments of capital.

You can also make ad–hoc lump sum overpayments any time you wish.

award winning

Our mortgages have won numerous awards over the years, the most recent being What Mortgage Magazine's winner of Best Direct Lender over 5 Years (February 2007).