Deutsche Bank mortgages vs high street lender mortgages

by Aaron Strutt

Feb 01 2025

When comparing Deutsche Bank mortgages to those offered by high street mortgage lenders there are a few important distinctions to keep in mind. Your choice will depend heavily on your financial situation, income level, property type, and borrowing needs.

High-street lenders like Barclays, HSBC for Intermediaries, NatWest, and Santander for Intermediaries are offering mortgages with amounts of £1 million or more, priced at around 4%, and with low arrangement fees. However, applicants will need relatively straightforward finances to qualify for these mortgages. 

Click here to view our £1 million+ mortgage best buy table.

1. Target Clientele For Deutsche Bank And High Street Mortgage Lenders

• Deutsche Bank:

  • Typically serves high-net-worth individuals (HNWIs) or corporate clients.

  • Mortgages are often bespoke or private banking products, not mass-market.

  • You may need to hold significant assets with the bank to meet the qualification requirements.

  • More likely to offer international mortgage services (e.g., for non-resident buyers or overseas properties).

• High Street Lenders:

  • Focus on mainstream residential and buy-to-let borrowers.

  • Offer products for first-time buyers, home movers, remortgagers, and buy-to-let landlords.

  • Issue larger mortgage loans between £1 million and £10 million with rates priced around 4% if you have a larger deposit.

2. Mortgage Types and Flexibility

• Deutsche Bank:

  • Custom solutions, potentially including multi-currency mortgages, interest-only options, or large-loan facilities.

  • More flexibility in underwriting for complex income (e.g., business owners, international clients).

  • High minimum loan sizes (often £1M+).

  • Not listed on comparison websites or accessible without an introducer or relationship manager.

• High Street Lenders:

  • Offer standard mortgage types, including shorter and longer term fixed, tracker, discount, and offset.

  • Regulated under FCA rules with transparent pricing and eligibility criteria.

  • Less flexibility with unusual income or bespoke terms.

  • Increasingly flexible acceptance criteria to target high-net-worth borrowers.

3. Mortgage Interest Rates and Arrangement Fees

• Deutsche Bank:

  • Rates are often not publicly advertised and are negotiated on a case-by-case basis.

  • Could offer preferential rates for large loans or private clients.

  • May have higher arrangement fees but more scope for structuring the loan tax-efficiently.

• High Street Lenders:

  • Transparent pricing, easily compared. 1.5, 2, 3, and 5-year fixes available.

  • Competitive rates for mainstream products.

  • Arrangement fees typically range from £0 to £1,999, often accompanied by incentives such as free valuations or cashback.

Aaron Strutt, product director at Trinity Financial, says: "One bank is offering a two-year fix at 4.21% for mortgages between £2,00,000 and £10 million, and the overall cost for comparison is 5.5% APRC. It does not require assets or investments as part of the process and works with high-net-worth clients.

"The 4.21% rate has a £1,999 arrangement fee on its fixed rates, rather than a 0.25% or 0.5% fee, and has a specialist large loans broker desk that Trinity's brokers have access to. The lender has a reputation for producing fast mortgage offers. Other lenders' two-year fixes start from 3.90% for mortgages between £300,000 and £5 million."

4. Speed and Process

• Deutsche Bank:

  • Relationship-driven; can offer fast decision-making for high-value deals.

  • Might offer a more white-glove service, especially for complex transactions.

• High Street Lenders:

  • More rigid processes, meaning £1 million+ mortgages can be issued quickly, often within a week or two.

  • Can be slower and involve more bureaucracy (especially with stricter affordability checks), although this does depend on the lender. Many lenders are highly efficient.

  • A more bespoke lending team setup to manage applications for high-net-worth clients.

5. International and Non-UK Resident Borrowers

• Deutsche Bank:

  • Very strong in the international mortgage space.

  • Ideal for non-residents buying in the UK or UK residents buying abroad.

  • Experience handling cross-border tax and legal implications.

• High Street Lenders:

  • Often limited or cautious in lending to non-residents.

  • Requires more proof of UK income, deposit and address.

6. To Summarise - Should You Use a Private Bank Or a High Street Lender?

It depends on your financial situation. If you qualify for a low mortgage rate with a high street lender, then in some cases it may make sense to opt for lower fixed rates and cheaper setup fees. If your situation is complex, then a private bank may well be the best option. 

Call Trinity Financial on 020 7016 0790 to secure a private bank or high street mortgage, book a consultation, or complete our mortgage questionnaire. 

The information contained within was correct at the time of publication but is subject to change.

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