Can remortgaging save you money?


Remortgaging can offer you peace of mind. Changing your mortgage or remortgaging means moving from your present mortgage to another mortgage. You do not have to change mortgage your lender should your present lender be able to provide you with a better deal than anywhere else, you can just switch over.

Reasons for Remortgaging

There are four key reasons for remortgaging:

  • Your current mortgage deal is coming to an end and you do not wish to pay your current mortgage lender’s standard variable rate as it is more than other offers from other mortgage lenders.
  • You are on your mortgage lender’s standard-variable rate and you wish to switch to a fixed rate or capped rate, or just pay a lower rate than you are paying.
  • You wish to change to a more flexible mortgage should you be able to change your pattern of payments.
  • You wish to free equity in your property given that there has been an increase in value. Of note is that there is a limit on the amount the lender is going to lend you dependent your income and property value. It is almost impossible to borrow more than 90% of your property’s value in the present mortgage market.

Is it worthwhile remortgaging?

Do not just change to the cheapest remortgage deal available. In addition, you will need to consider the kind of deal that is most suitable.

To decide whether or not you could save money by remortgaging, you ought to check out all the switching costs involved.

The most easy way to work out whether or not you will make savings by switching your mortgage deal is to use our mortgage calculator. In order to use our remortgage calculator, you will need to know the following:

  • Your present monthly mortgage payment
  • The number of years remaining until the end of your mortgage
  • The costs of changing from your present mortgage lender

Contact your current mortgage lender

Prior to changing to a new mortgage lender, get in touch with your existing one and offer that provider an opportunity to give you a better deal. Should you stay with your present lender you will not need a new valuation unless you are borrowing more and you will not need to pay any legal fees.

You ought to get independent mortgage advice and undertake your own research prior to remortgaging to ensure that you get a deal which suits you.

Mortgage Calculator

If you've come to the end of your special introductory rate or discounted period and are looking to make lower repayments on better terms, use the calculator below to get an indication of repayments at a new rate. To speak to one of our remortgage specialist partners and let us find the best remortgage deal for your specific needs complete the form below.

Remortgaging your property can allow you to:

  • Consolidate your debts
  • Make home improvements
  • Raise extra cash
  • Save money
  • Avoid moving home

England

Wales

House Price

Min£50,000

£50,000

Max£600,000

Deposit

Min (5% of house price)£2,500

£2,500

Max (30% of house price)£15,000

Interest Rate

Min2.00%

3.50%

Max6.00%

Term

Min25 Years

30 Years

Max35 Years

This calculator is provided to give you basic guidance only. This information is computer-generated and relies on certain assumptions. It has only been designed to give a useful general indication of costs. Its important you always get a specific quote from the lender and double-check the price yourself before acting on the information. We cannot accept responsibility for any errorsand recommend that you obtain exact figures from a specific lender before committing to any mortgage.

Mortgage Calculation

Your deposit£2,5005%
Your mortgage£47,50095%
 
Monthly Payment£213.30 

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