There are various motivations for deciding to remortgage your house, such as opting for a lower rate product, releasing equity for investment, making a one-off purchase, or home improvements. Numerous other reasons may influence this decision.

Several factors must be considered by borrowers, primarily revolving around financial aspects like interest rates and fees (including lender fees and potential legal fees).

In addition to the borrower’s considerations, advisors need to consider long-term factors like affordability and the suitability of the recommended lender.

This involves factors such as the maximum age at the end of the term, the lender’s standard variable rate, and their treatment of existing clients intending to stay with the chosen lender long-term.

We’ve pulled together five key considerations you would want to make before remortgaging your property. If, after reading this you have questions about how you could best remortgage then our team will be more than happy to help!

1. Before deciding to remortgage with your existing lender, it is crucial to explore the market thoroughly. While it may seem convenient to accept a new offer from your current lender, the competitive mortgage market could present more suitable deals from a broader range of lenders.
2. Seek advice on the most suitable mortgage option for your situation. While self-research is an option, consulting with a mortgage broker, such as Your Mortgage Expert, can save you both time and money.
3. Be mindful of the fees associated with remortgaging. Beyond the interest rate, consider the overall cost of the mortgage, including Early Repayment Charges, Exit Fees, Legal Fees, and Valuation Fees. A reliable mortgage broker will thoroughly explain these options to you.
4. Avoid procrastination and secure a new mortgage deal before your existing one concludes, especially if you are on a fixed-term arrangement. Failing to do so could result in being moved to the standard variable rate by your current lender, potentially costing you more money.Ideally, start exploring remortgage options 3-6 months before your current deal expires. If you originally secured your mortgage through a broker, they should remind you well in advance.
5. Evaluate changes in your financial or lifestyle circumstances when considering a remortgage. Assess whether factors such as income, family size, or loan repayments have changed since your last mortgage. This consideration is vital to ensure that you can comfortably meet your future monthly mortgage payments.