About Santander
Santander UK is one of the largest banks in Britain and is a wholly owned subsidiary of global banking firm Banco Santander. They offer a wide range of consumer and commercial services and have around 14 million active customers as of January 2024.
The latest figures from trade group, UK Finance, named Santander as the fourth largest lender in the UK, with an 11.4% market share. The bank did, however, cut their mortgage lending by £10 billion in October 2023, citing a slowing market as the reason for this.
What type of mortgages do they offer?
Santander’s UK arms offers the following types of mortgages:
- Residential mortgages: Including exclusive products for first-time buyers and borrowers who need support from their family to purchase a home.
- Remortgages: Including deals for borrowers who are switching to Santander from another lender, and exclusive products for existing customers.
- Buy-to-let mortgages: These mortgages are only available through Santander if the borrower is applying for one through a mortgage broker.
Santander’s residential product range is dominated by fixed-rate mortgages with 2, 3 and 5-year introductory rates periods, as well as 2-year tracker mortgages. Capital repayment and interest-only options are available.
Residential mortgage criteria
Below you will find a summary of the eligibility criteria for a Santander residential mortgage:
- Deposit requirements: Start at 5% of the property’s value (95% loan-to-value).
- Credit history: Some bad credit mortgage options are available. For example, Santander will consider applicants with CCJs or debt management plans if the issue was discharged 3-6 years ago, but more severe issues may trigger a rejection.
- Age: The maximum age a borrower can be upon application is 69, or 75 at the end of the application. If any part of the mortgage is interest-only, age caps are 64 and 70.
- Self-employed requirements: Self-employed applicants will need at least 2 years’ accounts to evidence their income for the affordability assessment.
Buy-to-let mortgage range
Santander’s UK buy-to-let mortgage range cannot be accessed with a mortgage broker, this is something Teito can help you with. Our brokers are buy-to-let specialists - not only do they have access to Santander deals, they can sometimes secure exclusive rates too.
Below you will find a summary of the key criteria for Santander’s buy-to-let mortgages:
- Deposit requirements start at 25%
- Available to first-time landlords
- Rental cover must be 125% for basic rate taxpayers or 140% for higher rate
- Santander don’t lend to portfolio landlords
- One applicant must have personal income of at least £25,000
Santander’s buy-to-let mortgages are fixed-rate deals with 2, 3 or 5-year initial rates periods.
What interest rates are available?
As a high street mortgage lender, Santander's mortgage rates are generally competative with other mainstream banks, and are lower on average than specialist lenders' ranges.
You can compare Santander's latest mortgage rates with more than 90 of their competitors across the market for free below, or have one of our brokers do it for you:
Compare Santander mortgage rates with 90+ lenders for free
How much will Santander let you borrow?
Santander caps its maximum mortgage lending at between 4.45 and 5.5 times the borrower’s annual salary. They will use the highest income multiple if it’s a remortgage without capital raising, or if the applicants’ combined income is over £100,000 and the LTV is 75% or lower.
Are Santander a good mortgage lender?
Santander currently holds an average rate of 1.4/5 on TrustPilot, based on over 6,700 reviews. This is, however, based on reviews of all of its products and services.
Consumer group Which? carried out an in-depth review of the mortgage market in October 2023 and ranked Santander in joint 5th place out of 22 UK lenders. The bank’s mortgage arm received an above-average customer satisfaction rating of 71%.
Pros and cons
The table below highlights some of the pros and cons of Santander as a mortgage lender to help you decide whether they are the right option for you:
Advantages | Disadvantages |
Some bad credit mortgage options available | Limited options for borrowers who are newly self-employed |
Flexible options for buy-to-let mortgages (including deals for first-time landlords) | Later-life borrowers are referred elsewhere |
Can lend based on high income multiples | Fewer options for first-time buyers than some competitors (no guarantor mortgages or support for the First Homes scheme) |
Low deposit mortgages available | Difficult to be approved with moderate-to-severe bad credit |
Compare mortgage rates and deals from Santander
Teito offers a free service that allows you to compare Santander’s mortgage rates with deals from other lenders across the market in real time. You can choose the mortgage you want online and access expert support from one of our brokers at any point.
Follow the steps below to browse rates in real time and choose your mortgage online:
Get started here: Then select whether you are looking for a two-year fixed-rate mortgage to buy a property or for remortgage purposes.
Specify the purpose of the property: You can compare two-year fixed-rate mortgages for residential or buy-to-let purposes, as well as remortgages.
Choose your own mortgage: Finally, tell us what stage you are at in the process and you can compare rates from across the market and choose the deal you want.
After you have selected a mortgage deal, one of our mortgage brokers will check over your application before securing an agreement in principle for you. They will be on hand to offer bespoke advice, make sure you’re getting the best deal, and oversee your application.
FAQs
Santander do not directly offer retirement mortgages but have partnered with Legal & General to handle any enquires they receive in this area. They refer customers over 55 to them for advice on lifetime mortgages and retirement interest only (RIO) agreements.