Time to remortgage?
Time to re-mortgage? Remortgaging means changing your existing mortgage to a new deal, either with a new lender or the same one. With every penny crucial, switching to a new deal could save you a considerable amount. Is it time to re-mortgage?
1. Deal about to end?
– When your fixed-rate deal comes to an end, you will likely be switched to a standard variable rate that will probably in current mortgage market conditions be higher than you had been paying. So, finding a new deal could save you a considerable amount of money.
2. Want a different mortgage type?
– With mortgages, there is a lot to think about. One of the key decisions is fixed, tracker or variable mortgage. Different options will
work better for different borrowers, depending on their unique circumstances.
3. Home value has increased?
– If the value of your home has risen significantly since you took out your mortgage, which is likely to be the case for anyone who bought their home more than three years ago, your loan-to-value ratio will have decreased. If this is the case, you could be entitled to better rates so it could be a good time to remortgage.
4. Want to overpay?
– An overpayment is an additional payment over your usual monthly mortgage payment, they can be a one-off lump sum or a regular
overpayment. Depending on your mortgage and lender, limits and Early Repayment Charge’s (ERC) could apply.
5. Want to borrow more?
– On the other hand, there are times when you might want to take out a higher loan. For example, if you plan to build an extension or want to pay off other debts, it might be time to remortgage to a find a lender that will let you raise more money on lower rates.
Talk to us
There’s a lot to think about when it comes to remortgaging. The best way to get the most suitable deal is to start looking early and talk things through with us, we can help you pin point the best time to remortgage.
THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF
YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE
source: Quilter Essentially Mortgages Q4