Many homeowners are paying more than they need to every month by not reviewing their mortgage. By speaking to an adviser, we can help make sure you never pay more than you need to for your mortgage.
How does remortgaging work?
In layman's terms, remortgaging is when you move from one mortgage deal to another. People might do this for a whole host of different reasons, such as:
- You've seen a better rate you want to switch to
- Your fixed rate deal is coming to an end
- You want to change from an interest-only to a repayment mortgage
- You need to borrow more money
- You want to be able to make overpayments
Things to consider
Before you remortgage, there are a few things you need to first consider...
Fees
Find out what fees are involved in remortgaging. Some lenders offer fee-free mortgage advice, whereas others may charge a fee e.g. product fee, early repayment charges etc. as these could sway your decision one way or another.
Early repayment charge
Switching to a new mortgage deal before your current mortgage has come to an end could mean that you have to pay an early repayment charge. These can be quite substantial so it's important to check first so that you're well informed before you make your decision.
Loan-to-value
You're likely to be open to more mortgage deals if you have a low loan-to-value (LTV). This is essentially the size of your remaining mortgage in relation to the current value of the property.
Get mortgage ready
When you apply for your next mortgage deal, you'll go through affordability testing again, so make sure your finances are in order and your credit score is in a good state.
If you're looking for expert mortgage advice, our advisers will listen to your needs, understand the criteria that lenders are looking for and can compare mortgage deals to help find the right one for you. We have access to over 90 lenders and can search 11,000 mortgages, saving you time and taking the hassle out of doing it yourself so please don't hesitate to get in touch with us today and we can go through your remortgage options.
Want to know more? Read our article Should I remortgage.