Help! I’m a Birmingham Midshires Residential Mortgage Customer

Mar 3, 2024

Birmingham Midshires Exited Direct Mortgage Market in 2011: What Existing Customers Need to Know


Important information for Birmingham Midshires mortgage holders:

As of October 1, 2011, Birmingham Midshires made a significant change – they stopped offering mortgage products directly to customers. This means that existing residential customers with Birmingham Midshires mortgages won’t be able to get new mortgage products directly from them when their current term ends.

They also stopped offering residential mortgages in any forms many years ago. Choosing to focus solely on buy to let.

What does this mean for you? 

Your mortgage rate

Many Birmingham Midshires residential mortgages either started on or later changed to a “tracker rate”. This meant that the interest rate whilst on the tracker would be normally around 0.5%-1% above the bank of England base rate.

For many years, whilst the bank of England base rate was low (0.1% at its lowest in 2020), the interest rate charged was actually fairly competitive (0.6% charged if your tracker was 0.5% above, whilst the base rate was 0.1%)

However now that the base rate is 5.25% you will be paying an interest rate of around 5.75% and above: which is comfortably around 1.5% more expensive than high street fixed rates currently available if you instead remortgaged to a new lender. Of course specialist lenders charge more, so whether or not you can improve your fixed rate, depends on which new lenders you are eligible for.

You may have stayed with BM because you believed you were unable to remortgage due to income, credit, property type etc. however market changes in the last 10 years have opened up lots of opportunities to remortgage that we’re not previously available.

Your mortgage term

Your current mortgage term may have already or could be about to reach its end, so you’ll need to explore other options for refinancing or finding a new mortgage product if you don’t want to sell the property.

  • Birmingham Midshires won’t offer: product transfers, further advances, or mainstream mortgages directly to existing customers.
  • Alternative options: You’ll need to consider using a mortgage broker or going directly to another lender to find a new mortgage product when your current term ends.
  • Be proactive: Don’t wait until your current term ends to start exploring your options. Research different lenders and mortgage products well in advance to ensure a smooth transition.


Additional resources:

Remember, seeking professional financial advice can be beneficial when making important decisions like refinancing your mortgage.

Steven Morris – Advising Director



Steve loves a complex mortgage. Most recently he has used his technical geekery to work his way up through Which? Mortgage Advisers, progressing to Senior Adviser and then Onboarding Manager. There, he was responsible for hiring, training and managing new advisers.

He also ran the monthly new starter inductions and wrote and maintained the telephony advice standards of the company. Outside of work Steve can be found coaching and being run ragged by his local under 10’s rugby team, Bristol Harlequins RFC.

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