Remortgage

What do you need to know?

If you are a property owner, owned outright or with a current mortgage, then remortgaging could be something that you consider. When you remortgage you move from your current mortgage deal and move to getting a new mortgage deal. All of this could be done with your current provider or a new lender. But why would you remortgage?

Why should I remortgage?

There are a number of reasons why someone would want to arrange a remortgage. You may want to cut your costs and move to one that is much more competitive. You could remortgage to get some extra cash for something like renovating the home. In reality, you could remortgage for a number of different reasons.

How do I get the best remortgage deal?

In order to get the best deal it is a good idea to work out your LTV (loan to value rate). This can be calculated by looking at the amount of equity that you have in your home, compared to other borrowing that you will need. This should then be divided by the loan value of the house, and then multiplied by one-hundred. Then you can look for the most suitable products for you.

It is also a good idea to check your credit score to see if there is likely to be any issue that arises you will be able to easily rectify. Pay off any credit cards for example.

Which mortgage shall I choose?

There are some options when it comes to remortgaging and knowing which to choose. You could choose a fixed-rate remortgage or an interest-only remortgage. As described, a fixed-rate mortgage is a mortgage with a fixed-rate for a certain length of time. It can work out to be the most affordable, as you know what you will be paying for a set amount of time.

Depending on your personal circumstances, as well as your LTV, you could consider an interest-only mortgage. They can be a little trickier to secure, simply because you have to show to the lender that you have the means to repay in place. You can’t just think that you will overpay or downsize your home before the end of the payment term.

How will Bespoke Money help me?

Remortgaging is something that is usually straightforward, especially when you compare it to finding a mortgage to be able to buy a property with. As a result, if you want to remortgage you just have to find the type of mortgage with the rates that you want to apply for, with your solicitor and lender dealing with the rest, if necessary.

If you want to be able to review more lenders and have access to more mortgage products, then we as mortgage brokers can help you. We not only help people to find the best suited mortgage for them when they want to buy a house, but when they want to remortgage too. We take into consideration your personal circumstances, such as budget and cost of the property, to assess what will be best for you. Get in touch with us today to see how we can help you with your remortgage.