What is re-mortgaging?
Simply switching from your current mortgage deal to another deal with a different mortgage lender.
It allows you to shop around and look at other deals with other providers to see if you can get a better deal on your mortgage.
What happens with the outstanding mortgage amount?
It simply gets transferred to another mortgage product.
There are many reasons, but it’s usually to get a better deal
Top reasons to re-mortgage:
- Your current deal which could be a fixed or variable mortgage comes to an end. You normally revert onto a lenders SVR or variable rate mortgage. This may be a higher rate than your fixed or variable rate, meaning your monthly repayments could increase. If you chose to re-mortgage at the end of your current product then you will be more likely be able to reduce your mortgage payments.
- A lenders variable rate mortgage can change at any time, this forces your monthly payments to increase or decrease with very little warning, another reason why people re-mortgage onto a fixed rate deal.
How does the re-mortgaging process work?
The process can be a little daunting to an outsider of the industry that’s why we are here!
What we can do for you without the need for charging you a fee:
- Look at your finances, and see what you can afford
- We search the whole of the market for you to find you the deal best suited to your needs
- We ensure it’s the right time for you to re-mortgage to avoid any early-stage penalties you could incur.
- We help you apply for your re-mortgage and recommend a solicitor
How long does a re-mortgage take?
We cannot give an exact timeline, but typically a re-mortgage can take between 4-8 weeks depending on any specific requirements you may have and the lender.
Are there any fees when you re-mortgage?
Yes such as solicitors fees or a fee charged by the lender
If you move your mortgage before the end of your product end date, you will incur a repayment charge. We check the dates for you to make you aware if there will be any repayment charges.
Many lenders out there will offer incentives and as mortgage brokers we gain access to deals which often have no product fess, no valuation, and no legal fees.
Here at MTGE we do not charge you fees.
We are MTGE – We Care
We are here for you, and with a joint 35 years of experiences we are good at what we do!
PLEASE NOTE: Article written January 6th 2022. Information contained within this article is likely to change and therefore should not be relied upon or form part of any form of decision making without seeking professional advice. *
YOUR HOME MAY BE REPOSSESSED IF YOU DON’T KEEP UP REPAYMENTS ON YOUR MORTGAGE
Any guidance and/or advice contained within this document is subject to the UK regulatory regime and is therefore restricted to consumers based in the UK. Any technical or regulatory information contained within this document was correct at the time of producing it but as it may be subject to change it should not be exclusively relied upon when making a financial decision. The Financial Conduct Authority does not regulate advice on Buy to Let mortgages.