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BLOG: How to Find the Right Remortgage Deal

Posted August 6, 2021

There are many instances why you might want to apply for a remortgage, but it’s not always a straightforward decision. There are a lot of considerations to make before you commit to remortgaging your home. Our dedicated and experienced team are on hand to help you understand when to remortgage and why it could be beneficial.

Here we take a look at how to find the right remortgage deal to suit your needs.

What is a remortgage?

A remortgage often refers to moving your mortgage to a new lender, while staying in the same property. It gives you the opportunity to apply for a new mortgage with a different lender, that will essentially replace your existing mortgage. It can be particularly helpful if you’re hoping to borrow more money against your property.

Applying for a remortgage is very similar to when you applied for your initial mortgage. You will likely need to get an Agreement in Principle, and the lender will carry out a number of checks to make sure you’re in a good financial position. This include a credit check and checking your ID documents, proof of earnings and details of outgoings.

Reasons for remortgaging

There might be various reasons why a remortgage is suitable for your circumstances. For instance, if your current deal is about to end. Most mortgage deals last between 2-5 years, and when it ends the lender will likely put you on its standard variable rate which is typically higher than your previous rate. Remortgaging can give you the chance to shop around to find a cheaper rate.

Similarly, if you’re looking to improve the rate you’re currently on, you can remortgage to move to a better deal. However, you should consider any early repayment charges or other fees associated with this.

If your home’s value has gone up, you might find you are in a lower loan-to-value band. This could mean you’re eligible for much lower rates which you could access if you remortgage.

A remortgage is beneficial if you want to borrow more, for things like home improvements or paying off other debts. Remortgaging can help you raise money on lower rates, but you will likely need to provide evidence and consider any fees that will be associated.

Using a broker

As a broker, we can offer independent advice to help you make an informed decision when it comes to applying for a remortgage. This ensures you’re doing the right thing for your situation. Our team are here to help you understand any fees involved, how much you can borrow and what it will cost you.

What’s more, we’re able to offer recommendations and help you to compare remortgage deals. At Watts we aren’t tied to one provider and can compare the whole of the market to make sure we match you to the right remortgage deal. To find out more and get further advice, get in touch today.

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Watts Mortgage & Wealth Management Ltd is directly authorised and regulated by the Financial Conduct Authority.

We are entered on the Financial Services Register No 624815 at https://register.fca.org.uk/s/

More information is available on mortgages from the Money Advice Service. www.moneyadviceservice.org.uk

Where you have a complaint or dispute with us and we are unable to resolve it to your satisfaction then we are obliged to offer you access to the Financial Ombudsman Service. Please see the following link for further details www.financial-ombudsman.org.uk

Your property may be repossessed if you do not keep up repayments on a mortgage or any other debt secured on it.

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

For details of our fees for mortgage business please click here.

The FCA does not regulate some forms of mortgages. The FCA does not regulate taxation advice, trust advice and some forms of buy to let mortgages.

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