- >
- Mortgage comparison>
- Guides>
- Mortgage Term Length: Long Or Short Term?
Should you get a long or short term mortgage?
Your mortgage term is how long you have to pay off your mortgage. The traditional term is 25 years, but the average first-time buyer term is now 32.7 years, according to Mojo Mortgages. A longer term means lower monthly payments but more interest overall. A shorter term means higher monthly payments but less interest, and you'll be mortgage-free sooner. The right balance depends on your budget, your age and your plans.
Not sure what length of mortgage to go for?
The length of the term is just one of the many decisions you'll have to make when applying for a mortgage - take the hassle out of the process by speaking to an expert broker at Mojo Mortgages:
Answers to all your mortgage questions
Recommendations of deals that are suited to your needs
They'll even take care of the application when you're ready - for free!
Key takeaways:
A longer term lowers your monthly payments but means you pay more interest overall.
A shorter term costs more each month but saves interest and clears your mortgage sooner.
Most lenders offer terms of up to 40 years, but your age can limit how long a term you get.
You aren't locked in. You can change your term when you remortgage, or overpay to finish early.
What is a mortgage term?
The mortgage term is the length of time you have to repay your mortgage. You choose it when you apply. A 25-year mortgage taken out in 2026 would be paid off by 2051 if you make every payment on time.
Your term isn't the same as your deal length. A two or five year fixed rate deal sits inside your term, so you'll usually remortgage onto a new deal several times before the term ends.
What is the average mortgage length in the UK?
The traditional mortgage term is 25 years, but most first-time buyers now borrow for longer. Mojo Mortgages’ own data shows the average first-time buyer term is 30 years, and 69% of its first-time buyer customers chose a term of more than 30 years.
The average first-time buyer is 32 years and 7 months old, so on a 30 year term they’d be mortgage-free at around age 63.
You don’t have to keep a mortgage for its full term. If you sell or remortgage, you can start again with a new one.
What are the minimum and maximum term lengths?
The longest term most lenders offer is 40 years. The shortest varies by lender, and is often between two and five years.
How long a term you can get also depends on your age.
How does your age affect your mortgage term?
Lenders set a maximum age by which you must finish repaying, often between 70 and 85. The older you are when you apply, the shorter the term you can get. This table shows the longest term you could get if a lender's maximum age is 75 and its longest term is 40 years.
| Your age when you apply | Longest term you could get |
|---|---|
| 25 | 40 years |
| 30 | 40 years |
| 35 | 40 years |
| 40 | 35 years |
| 45 | 30 years |
| 50 | 25 years |
Each lender sets its own maximum age and maximum term, so your options may differ. If your term would run past the age you plan to retire, lenders may ask how you'll keep up your payments once you stop working. If you're an older borrower, your options depend on each lender's age limit.
Long term vs short term mortgage: what's the difference?
Your term changes two things: how much you pay each month, and how much interest you pay overall.
Longer term (for example, 30 to 40 years)
Pros
Lower monthly payments, because you spread the cost over more years
Can help you meet lenders' affordability checks, so you may be able to borrow more
More room in your monthly budget, which can help first-time buyers
Cons
You pay more interest overall
You build equity in your home more slowly
You're in debt for longer, and may still be paying in retirement
Shorter term (for example, 5 to 15 years)
Pros
You pay less interest overall
You build equity faster, which can help if you remortgage or sell
You're mortgage-free sooner
Cons
Higher monthly payments, which can stretch your budget
Lenders may judge the payments unaffordable, so you may be able to borrow less
Less room in your budget if your income falls or your costs rise
Here's how term length changes what you pay on a £160,000 mortgage, based on a 2-year fixed rate of 5.96%:
| Mortgage term | Monthly payment | Overall cost |
|---|---|---|
| 15 years | £1,347 | £242,409 |
| 25 years | £1,027 | £308,092 |
| 30 years | £955 | £343,861 |
| 35 years | £908 | £381,364 |
| 40 years | £876 | £420,425 |
Figures are for a repayment mortgage at a representative rate of 5.96%, held for the whole term, with no fees. Your rate will differ, and it will change when your deal ends.
Which is better: a 30 or 35 year mortgage?
There's no single best term. The best one is a term with monthly payments you can afford, without paying more interest than you need to. Try different terms in a mortgage calculator to see what each costs you a month and overall.
A 30 year term costs less in total than a 35 year term, but your monthly payments will be higher. If those payments stretch your budget, a 35 year term spreads the cost over more years.
Rate rises hit longer terms harder. On a longer term, more of each payment is interest, so a rise in rates adds more to your monthly payment than it would on a shorter term. Include that when you budget.
It's also worth thinking about when you want to be mortgage-free. If you plan to retire in 30 years, a 30 year term could get you there, as long as you can afford the payments.
Is a 40 year mortgage too long?
Most lenders offer 40 year terms. They give you the lowest monthly payments, but you'll pay much more interest overall, and lenders' age limits mean they're mostly open to younger borrowers. If you take one, you can still overpay or remortgage onto a shorter term later.
What term should you choose when you remortgage?
When your deal ends, you can choose a new term. Say you took out a 25-year mortgage and remortgage after five years. You could:
Take another 25-year term. This lowers your monthly payments, but you'd finish paying 30 years after you bought.
Take a 20-year term. This keeps your original end date, with higher monthly payments.
If your finances change, you can choose again next time you remortgage. A pay cut might mean choosing a longer term, and a pay rise might let you shorten it.
Can you change your term without remortgaging?
Some lenders let you change your term during your deal. Extending it lowers your monthly payments but raises the interest you pay overall. Shortening it does the opposite. Your lender may run affordability checks first, particularly if the new term runs past your retirement, so ask before you apply.
Should you overpay instead of choosing a shorter term?
Overpaying has a similar effect to a shorter term. Your balance falls faster, so you pay less interest. The difference is flexibility. You choose when to make overpayments, whereas a shorter term commits you to higher payments every month.
A longer term with regular overpayments can get you close to the result of a shorter term, while letting you drop back to the normal payment if money gets tight.
Check whether your lender allows overpayments, whether there's a fee and whether there's a limit. Many lenders let you overpay up to 10% of your balance each year without charge. Going over that limit could trigger early repayment charges.
Should you get a long or short introductory rate?
Your term is separate from your deal length, which is how long your starting rate lasts. A deal can last two, three, five or ten years, and the rate can:
Be fixed for the whole deal
Track another rate, like the Bank of England base rate
Stay a set amount below the lender's variable rate
With a fixed rate, your monthly payment stays the same for the whole deal, even if other rates rise. Fixed, tracker and variable rates work differently, so it's worth understanding each before you pick a deal length.
If you're a first time buyer or looking to move house or remortgage, we can help you find the best mortgage deal to suit your needs.
Mortgage term FAQs
How long is a typical mortgage?
The traditional term is 25 years. The average first-time buyer term is now 31 years, according to UK Finance.
What's the longest mortgage term you can get?
Most lenders cap terms at 40 years, and your age can lower that limit. 50 year mortgages have been proposed, but they aren't widely available.
What's the shortest mortgage term?
It varies by lender. The shortest is often between two and five years.
Can you get a 30 year mortgage in the UK?
Yes. Most lenders offer terms of 30 years or more, though your age can limit how long a term you get.
Can you change your mortgage term?
Yes. You can usually change it when you remortgage, and some lenders let you change it during your deal. Your lender may run affordability checks first.