Switching your existing mortgage to a new one, either with your current lender or a different one, is what remortgaging involves. This new mortgage takes the place of the previous one. Key questions include understanding the steps in the remortgaging process, identifying the optimal timing for it, and considering various factors involved in the process.

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How does remortgaging work?

Remortgaging operates much like your initial mortgage application, but factors such as changed personal circumstances, like self-employment or maternity leave, may affect it.

Seeking advice from a mortgage adviser can simplify the remortgaging journey, as they guide you through each step. Reach out to an adviser to explore your remortgaging choices.

You may have to pay an early repayment charge to your existing lender if you remortgage.

Important information

Your home may be repossessed if you do not keep up repayments on your mortgage.

There may be a fee for mortgage advice. The actual amount you pay will depend upon your circumstances. The fee is up to 1%, but a typical fee is 0.3% of the amount borrowed.

Deciding When to Remortgage: It's possible to remortgage any time, but certain signs indicate it's a wise choice:

  1. End of Mortgage Term: Commonly, people remortgage when their current deal concludes, avoiding the lender's standard variable rate (SVR). Ideally, start six months before your term ends.
  2. Seeking Better Deals: Continuously assess if your mortgage aligns with your financial needs. Remortgaging might offer savings, but consider potential early repayment fees. This is something we will discuss in detail with you.
  3. Home Renovation Plans: Remortgaging can release equity for renovations, though it increases your mortgage balance and will be paid over the full mortgage term.

What happens to my old Mortgage?

Upon remortgaging, your existing mortgage is replaced by a new loan that clears your old mortgage's remaining balance. Remortgaging and mortgage product transfers are similar but distinct processes, but both replace your existing mortgage.

How long does it take to remortgage?

Remortgaging typically takes 4-8 weeks after application submission, though this varies based on personal circumstances and potential delays. We will keep you up to date with the progress of your remortgage.

Pro’s/cons of remortgaging?

A major advantage of remortgaging is the opportunity to find a more affordable deal, potentially reducing your mortgage payments. It also allows for loan term adjustments to better suit your needs, giving you greater financial control. This could mean more available capital for mortgage overpayment or other expenses. Additionally, remortgaging offers the flexibility to increase borrowing for purposes like home renovations or assisting others with their property purchases, and can be a strategy for consolidating existing debts.

How much does it cost to remortgage?

The cost of remortgaging often doesn't involve direct charges. However, various associated fees such as arrangement, legal, early exit, and broker fees contribute to the overall expense. It's essential to consider these additional costs alongside any potential new rates when assessing the total cost of remortgaging.

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