We surveyed more than 6,500 members of the public in August and September to uncover the best mortgage lenders, according to real customers.
The two lenders that achieved the joint-highest customer scores (which represent customer satisfaction and the likelihood to recommend) are Nationwide Building Society and Principality Building Society.
Building societies win on customer satisfaction
That said, customer satisfaction is generally high among customers of residential mortgage lenders. The average customer score in our survey was 73% and just four lenders out of 21 received a score below 70%.
The highest-scoring banks in our survey for customer satisfaction was Accord (75%), followed by Barclays, First Direct, NatWest and Santander, which all achieved a score of 74%.
Find out more:Big banks typically offer better mortgage deals
We analysed three months of mortgage data, from June to September, to understand the providers that generally offer the best deals.
The best two-year mortgages
For an idea of the best rates currently available and which lenders offer them, the table shows the best two-year fixed rates for remortgagers.
High street banks typically offer better online access
Our annual mortgage research also asks customers to rate lenders on areas such as online access, fee transparency and overall customer service.
In our survey, high street banks generally scored better than building societies for online access
NatWest achieved five stars, while Barclays, HSBC and Lloyds received four stars.
Start your mortgage search with these four lenders
Whether you choose a bank or a building society, you don't have to compromise between competitive mortgage deals and excellent customer satisfaction.
When choosing one, ensure they are a whole-of-market broker. That means they will be able to search all deals available via a broker, rather than being restricted to a set panel of lenders.
How are banks and building societies different?
Historically, banks and building societies differed more. Building societies were initially formed to help members save money and borrow funds to buy property. As a result, these providers only offered home loans and savings accounts. However, now many building societies offer a wide range of financial products.
The key remaining difference is how the two types of institutions are owned.
Most banks are owned by shareholders, who invest in the business and can benefit from its profits. Building societies don't have shareholders. Instead, their members own them, typically customers with a qualifying savings account or mortgage.
This means building societies are run for the benefit of their members rather than external shareholders. Members can also typically have a say in how the society is run, including by voting on certain decisions and electing directors at its Annual General Meeting.
source https://www.which.co.uk/news/article/should-you-choose-a-bank-or-a-building-society-for-your-next-mortgage-aSnro7s6NVi0