What is Purpose?

A purpose is what a lender expects you to use the money for. It is not a formality: the purpose decides which product you are shown, what the rate is and what checks apply. Buying a first home and remortgaging are different purposes, and so are lending to a tenant or taking money out of the value you have built up. Absa lists purchase, first-time buyer, remortgage and buy to let, while Absa Mozambique and Absa Seychelles both list purchase, remortgage and equity release. That difference matters, because a lender offering only remortgage will not fund a first purchase. Read the purpose before you compare anything else.