New research from Barratt Homes has shown that a quarter of Britons have used AI to guide a mortgage.
Despite this, users expressed some skepticism about the results, with only 7% stating that they were “very confident” in its accuracy.
The analysis also looked at the results of different AI tools when answering key mortgage questions and found mixed results.
The researchers asked a group of popular tools including Copilot, ChatGPT and Grok to evaluate a typical first-time buyer’s affordability and whether a two- or five-year fixed rate might be better.
Although identical information is used, for both Artificial intelligence tools He gave different answers – including different affordability forecasts and different recommendations on the best mortgage term.
On affordability, Copilot was the most neutral, saying the purchase “fits in well with typical UK lending patterns” without being optimistic or cautious.
ChatGPT was the most cautious, describing the researcher’s announced borrowing target of £230,000 as “limiting but reasonable”, depending on the lender’s stringency and affordability checks.
Grok was the most optimistic, calling the scenario “promising and affordable,” noting that some lenders are offering income multiples of 5x and above.
On the question of what type of mortgage to get, Copilot offered a balanced comparison of five-year versus two-year fixes.
ChatGPT trended toward a five-year fixation, highlighting stability for first-time buyers and the risk of higher interest rates in the future.
Grok favored a two-year fix, citing 2026 forecasts, expected interest rate declines, and competitive pricing in the short term.
“AI search tools can be useful in making mortgage terms and other information more accessible to first-time buyers and homeowners,” says Terry Higgins, group managing director of TNHG Mortgage Services.
“However, users should be careful when using them, especially in relation to financial decisions, as the outputs are not always accurate and can be biased.
“Calculating affordability is one of the most complicated parts of buying a home, and there are many factors at play.
“While AI can be a good starting point, it has been known to make mistakes in basic calculations and even hallucinate or invent fake data and numbers.
“The same goes for things like interest rates – AI can provide useful analysis, but it can’t be trusted to provide you with accurate, real-time information.”
