How does interest on mortgages work?     This is advertised as
loan-to-value (LTV).  So if you see a mortgage with a 60% LTV it
means you can borrow up to 60% of the property’s value.  In
other words, the minimum deposit you’ll need to put down is 40%.
A mortgage with a maximum LTV of 90% is available to those with
a deposit of 10% or more.  The good news is, mortgage rates have
been falling and the cost of 90% deals has come down even though
the rates are still higher than those on 60% products.   Don’t
only look at the interest rate, though, you need to take the
fees into account too.  Our guide on fees will tell you more.
How does a mortgage work?   In the early years, most of your
payments go to paying off the interest with a smaller part
reducing the capital.  As you get nearer to the end of the term,
it switches so that you’re paying more off the capital each
month.   The interest you pay on your mortgage will depend on
what type of home loan you pick  Whichever type of mortgage you
have, the interest