A remortgage mortgage broker is a professional who helps people get the best mortgage deal when they are looking to remortgage their home. A remortgage can be a great way to save money on your monthly repayments, but it can be difficult to know where to start.

An experienced mortgage broker will work with you to find the best mortgage rate and terms for your needs. They will also help you to understand the process and documents involved in remortgaging.

What is a remortgage?

A remortgage is when you switch your mortgage to a new lender, without moving, usually to get a better interest rate. It can also be used to borrow more money, or to release equity from your home when the house value has increased.

For many homeowners in the UK, their mortgage is their largest monthly expense. So, it’s not surprising that many people look for ways to reduce this cost. One option is to remortgage, which is when you take out a new mortgage with different terms from your current mortgage. This can involve switching to a different lender, or simply negotiating new terms with your current lender via a mortgage product transfer.

You should compare a product transfer to a remortgage, to see which has the best outcome for you.

The obvious time to consider a re-mortgage is when you are near the end of a fixed rate, this is when the exit fees will normally stop. But life sometimes gets in the way and so there maybe a need to remortgage early despite incurring these fees.

There are a number of factors to consider when deciding whether or not to remortgage, such as the length of the mortgage term, the interest rate, and the fees and charges associated with the mortgage. However, if you are able to get a lower interest rate or reduce the term of your mortgage, remortgaging can save you a significant amount of money each month.

What are the benefits of working with a mortgage broker?

Homeowners in the UK who are looking to remortgage may find that working with a broker is advantageous. Mortgage brokers have access to a wide range of re-mortgage products from different lenders, so they can help homeowners to find a deal that meets their needs. They also have experience with the remortgaging process, so they can guide homeowners through the paperwork and ensure that everything is in order.

As a result, working with a mortgage broker can save time and money.

Who can brokers help?

A broker can help a variety of borrowers, from those who are looking to lower their monthly payments to those who need to access equity in their home. For example, many borrowers who have variable-rate mortgages may be looking to refinance into a fixed-rate loan in order to protect themselves from rising interest rates.

If you are self-employed, CIS worker or have variable income, a broker can find the lenders that understand your position and want to help.

How is a CIS mortgage calculated?

Maybe you need to raise extra capital to put towards a woodland mortgage deposit, so you can invest in a private plot of land.

Others may be looking to consolidate debts or make home improvements. And still others may be interested in taking advantage of the equity they have built up in their home by taking out lump sum. Regardless of the reason, a remortgage mortgage broker can help borrowers find the best loan for their needs and circumstances.

Can you remortgage an unencumbered property?

Yes, remortgage options are available even though you own the property outright. Many people need to raise capital some time after they have repaid their mortgage, or perhaps it was an inherited property.

This articles provides a bit more detail: Can you remortgage a house without a mortgage?

What about equity release?

Equity release is the name of a range of later-life mortgages, suitable for borrowing into your retirement years. These are available as a remortgage, or you can use them to move house, perhaps downsizing at the same time. The choices can seem confusing as mortgages for pensioners have different requirements to a standard mortgage.

Equally you can just release equity to buy another house.

Removing someone from a mortgage

If you need to add someone, or remove someone, from a mortgage then this would be called a transfer of equity. You need to deal with the change in ownership of the property and also who is named on the mortgage. A remortgage will allow both of these things to happen at the same time.

Transfer of equity mortgages explained

Do I need a solicitor to buy out my partner?

How to buy someone out of a house

Remortgaging within six months

If you need a remortgage but have only recently acquired the property then most of the high street lenders will refuse your application. They need to see that you have been the registered owner for at least six months. This is commonly referred to as the six month mortgage rule.

The solution is a lender that offers a day one remortgage option. Most of these are specialists that only work with brokers and intermediaries. The reasons for needing a day one re-mortgage are quite varied.

Can you get a holiday let remortgage?

Yes you can, and there are a number of reasons why you might consider remortgaging a holiday let. Perhaps you’re looking to free up some extra cash to make improvements to the property, or you might be wanting to take advantage of lower interest rates.

Whatever the reason, remortgaging can be a great way to get the most out of your holiday home. With the right approach, remortgaging can help you unlock the potential of your holiday let property and ensure that it provides years of enjoyment for you and your guests.

The same principle applies for remortgaging a buy to let. You can read more about changing to a buy to let here.

The top three reasons why people remortgage their home

There are a number of reasons why people remortgage their homes. For some, it’s a way to free up cash for home improvements or other major purchases. For others, it’s an opportunity to get a better interest rate and lower their monthly payments. And for still others, it’s a way to consolidate debts and improve their financial situation.

Whatever the reason, remortgaging can be a great option for homeowners who are looking to save money or improve their financial situation.

Here are three of the most popular reasons why people remortgage their homes:

1. To Free Up Cash: One of the most popular reasons for remortgaging is to free up cash for home improvements or other major purchases. If you’ve built up equity in your home, you may be able to use that equity to get a lower interest rate on a new loan. This is called capital raising and it can free up cash that you can use for anything from renovating your kitchen to taking a dream holiday. Can you remortgage to buy another property?
2. To Get a Better Interest Rate: Another popular reason is to get a better interest rate. If interest rates have dropped since you originally got your mortgage, you may be able to save money by refinancing into a new loan with a lower rate. This can help you lower your monthly payments and save money over the life of your loan.
3. To Consolidate Debt: A third reason is to consolidate debt. If you have multiple unsecured debts with different interest rates, you may be able to save money by consolidating those debts into a single loan with a lower interest rate. This can help you streamline your monthly payments. What does debt consolidation mean?

The Bottom Line

Remortgaging can be a great way to save money or improve your financial situation. If you’re looking for a way to free up cash, get a better interest rate, or consolidate debt, remortgaging may be the right option for you.

Talk to a mortgage broker today to see if remortgaging is right for you.

Debt consolidation can help you clear debts and re-organise your finances. However, it’s important to note that you could end up paying more interest overall with a debt consolidation remortgage, than if you had continued to manage your unsecured debts, as the mortgage will be spread over a longer term.