Remortgages

Hi, I’m Oliver, a Registered Individual of The Money Group. If your current mortgage deal is coming to an end, or you simply want to see whether there could be a better option available, I can help.

I’ll review your existing mortgage, talk through what you want to achieve and help you compare your options so you can make an informed decision about what to do next.

oliver.smith@themoney-group.co.uk

07728511059

YOUR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.

Is Your Mortgage Deal Coming to an End?

If your current mortgage deal is due to finish, now could be a good time to explore your options.

I'll help you understand whether staying with your existing lender or switching to a new one could be suitable, taking account of interest rates, fees and your personal circumstances.

Review My Mortgage Options

Your mortgage is unlikely to stay right for you forever.

Your current deal may be coming to an end, your circumstances may have changed, or you may simply want to understand whether a different mortgage could work better.

A remortgage gives you the opportunity to review your existing mortgage and consider whether moving to a new deal makes sense.

I help homeowners understand their options, compare the cost of staying with their current lender against switching elsewhere, and work through the remortgage process from start to finish.

Whether you are looking for a new rate, want to change your mortgage term, need to raise additional funds or simply want to avoid drifting onto a less competitive deal, I can help you understand what may be available.

What Is a Remortgage?

A remortgage is the process of replacing your existing mortgage with a new mortgage.

This may involve moving your mortgage to a different lender, although in some circumstances staying with your current lender and choosing a new product may also be an option.

People remortgage for many different reasons.

You may want to:

Secure a new mortgage deal.
Avoid moving onto your lender's standard variable rate.
Reduce your monthly repayments.
Change the length of your mortgage term.
Switch from one type of mortgage to another.
Raise additional money against your property.
Fund home improvements.
Consolidate certain existing borrowing.
Review your mortgage after a change in circumstances.
Explore whether another lender may offer a more suitable option.

The right approach depends on your mortgage balance, available equity, current deal, income, financial commitments and future plans.

When Should I Start Looking at Remortgaging?

It is usually better to review your mortgage before your existing deal ends rather than leaving everything until the last minute.

Starting early gives you time to understand your options and prepare for any documentation or affordability checks that may be required.

You may want to begin looking several months before the end of your current deal.

This gives you time to compare:

Your existing lender.
Alternative lenders.
Current mortgage products.
Product fees.
Early repayment charges.
Your remaining mortgage balance.
Your property's estimated value.
Your current financial circumstances.

It can also help prevent you from making a rushed decision simply because your existing deal is about to expire.

What Happens When My Mortgage Deal Ends?

Many mortgage products have an initial deal period.

For example, you may have a fixed-rate mortgage for a certain number of years.

When that initial deal ends, you may automatically move onto your lender's follow-on

rate unless you arrange another mortgage product.

That rate may be higher or lower than the mortgage deals available elsewhere, depending on market conditions and your circumstances.

This is why it is worth reviewing your mortgage before the end date arrives.

You may have several choices:

Stay on your lender's follow-on rate.
Choose another mortgage product with your existing lender.
Remortgage to a new lender.

The best option is not automatically the one with the lowest advertised interest rate.

Fees, lender criteria, repayment charges and your future plans all need to be considered.

Product Transfer or Remortgage?

A product transfer means moving to a new mortgage deal with your existing lender without changing mortgage provider.

A remortgage usually involves moving your mortgage to a different lender.

Both options can have advantages.

Staying With Your Existing Lender

A product transfer can sometimes be simpler.

Depending on the circumstances, it may involve:

Less paperwork.
No legal work in some cases.
No property valuation in some cases.
A quicker process.
No need for a full affordability assessment in certain circumstances.

However, staying with your current lender means you are generally choosing from that lender's own range of mortgage products.

Moving to Another Lender

A full remortgage allows you to compare alternatives from other lenders.

This may give you:

Access to different interest rates.
Different fee structures.
Different mortgage features.
Alternative lending criteria.
Greater flexibility if your circumstances have changed.

A new lender is likely to assess your mortgage application again.

This may include affordability, income, credit history and the property itself.

I can help you compare both routes rather than assuming that either switching or staying is automatically better.

Should You Stay With Your Lender or Switch?

It's not always easy to know which option makes the most financial sense.

I'll help you compare the available mortgage arrangements, understand any additional costs and make an informed decision about your next deal.

Compare My Remortgage Options

Why Remortgage?

There are many reasons homeowners choose to review their mortgage.

Your Existing Deal Is Coming to an End

This is probably the most common reason.

If your current fixed or introductory mortgage deal is approaching its end, reviewing your options can help you decide what to do next.

You Want to Reduce Your Monthly Payments

A different mortgage rate or mortgage term may change your monthly repayment.

However, a lower monthly payment does not necessarily mean the mortgage will be cheaper overall.

Extending the term, for example, may reduce monthly repayments while increasing the amount of interest paid over a longer period.

This is why the total cost matters.

You Want More Certainty

If you are currently on a variable rate, you may prefer the predictability of a fixed-rate mortgage.

A fixed rate can make budgeting easier because your mortgage payment is generally protected from interest-rate changes during the fixed period.

You Want Greater Flexibility

Your existing mortgage may not offer the features you now want.

You Want to Borrow Additional Money

Some homeowners remortgage to release equity from their property.

Potential reasons can include:

Home improvements.
Extensions.
Renovations.
Major repairs.
Certain large purchases.
Helping family members.
Other financial objectives.

Any additional borrowing increases the amount secured against your property, so affordability and overall cost should be considered carefully.

How Does Remortgaging Work?

The remortgage process is usually simpler than buying a property because there is no estate agent or onward purchase involved.

However, there are still several stages.

1. Review Your Existing Mortgage

The first step is understanding your current position.

This includes:

Mortgage balance.
Current interest rate.
Deal end date.
Monthly repayment.
Remaining term.
Early repayment charges.
Existing mortgage features.

2. Estimate Your Property Value

Your property's value affects your loan-to-value ratio.

If the property has increased in value or you have reduced the mortgage balance, your loan-to-value may be lower than when you originally took out the mortgage.

This can potentially affect the mortgage products available to you.

3. Review Your Current Circumstances

Your finances may have changed since your last mortgage application.

This could include:

A change in salary.
A new job.
Becoming self-employed.
Increased bonuses or commission.
New loans or credit commitments.
Reduced debts.
Changes to family circumstances.

A new lender will usually assess your circumstances based on your current position.

4. Compare Mortgage Options

I can help you compare your current lender with alternative mortgage options.

This involves looking beyond the headline rate and considering fees and overall cost.

5. Apply for the Mortgage

If a remortgage to another lender is suitable, a full application can be submitted.

The lender will normally assess affordability, documentation and the property.

6. Valuation and Legal Work

The new lender may arrange a valuation of your property.

Legal work may also be required to move the mortgage from your existing lender to the new one.

7. Completion

Once everything is approved and ready, the new mortgage repays the existing mortgage and becomes the loan secured against your property.

How Is Loan-to-Value Calculated When Remortgaging?

Loan-to-value, commonly referred to as LTV, compares the amount you owe against the estimated value of your home.

For example, if your home is worth £400,000 and your mortgage balance is

£300,000, your loan-to-value is 75%.

If the mortgage balance were £240,000, the LTV would be 60%.

Loan-to-value can be important because lenders often price mortgage products differently at different LTV bands.

A lower loan-to-value may provide access to a wider or more competitively priced

range of mortgage products.

Your property's valuation therefore matters when remortgaging.

What If My Home Has Increased in Value?

An increase in property value can potentially improve your loan-to-value position.

For example, you may originally have purchased a property with a 10% deposit.

Over time:

You may have repaid part of the mortgage.
The property may have risen in value.
Your loan-to-value may therefore have fallen.

This can sometimes make different mortgage products available at remortgage.

However, the lender's valuation is what ultimately matters for the application.

Online property estimates can be useful as a guide but should not be treated as guaranteed valuations.

Can I Remortgage to Release Equity?

Potentially, yes.

Equity is broadly the difference between the value of your property and the amount secured against it.

For example:

Property value: £500,000
Mortgage balance: £250,000

This would represent approximately £250,000 of equity before taking account of selling or borrowing costs.

That does not mean all of that equity can necessarily be borrowed.

Any additional borrowing will usually depend on:

Your income.
Mortgage affordability.
The lender's criteria.
Your age.
Mortgage term.
Credit profile.
Property value.
Loan-to-value.
Purpose of the additional borrowing.

I can help you understand how much additional borrowing may be realistic and how it could affect your monthly payments and overall mortgage cost.

Remortgaging for Home Improvements

Home improvements are a common reason for raising additional mortgage borrowing.

You may be considering:

A kitchen renovation.
New bathrooms.
An extension.
Loft conversion.
Structural improvements.
Energy-efficiency upgrades.
General refurbishment.

Depending on the amount required, remortg aging or additional borrowing through your existing lender may be options.

It is important to consider the long-term cost.

Adding borrowing to a mortgage can spread repayment over many years, which may increase the total amount of interest paid.

Thinking About Borrowing More Against Your Home?

Whether you're planning an extension, renovating your property or considering other home improvements, I'll help you understand whether additional mortgage borrowing could be suitable.

We'll look at your available equity, affordability and the potential costs before deciding how to proceed.

Discuss Additional Mortgage Borrowing

Remortgaging to Consolidate Debt

Some homeowners consider consolidating unsecured borrowing into their mortgage.

This might involve using mortgage borrowing to repay:

Credit cards.
Personal loans.
Other unsecured debts.

Doing so can sometimes reduce monthly outgoings, but it also changes the nature of the borrowing.

Debt that was previously unsecured may become secured against your home.

Extending repayment over a longer mortgage term may also mean paying more interest overall, even if the monthly payment is lower.

Debt consolidation therefore needs careful consideration and may not be appropriate in every situation.

Can I Remortgage If I Am Self-Employed?

Yes, subject to lender criteria and affordability.

Your employment position may have changed since you originally arranged your mortgage.

You may now be:

A sole trader.
A limited company director.
A contractor.
A freelancer.
A business partner.

Different lenders assess self-employed income differently.

Some may use salary and dividends for limited company directors, while others may be able to consider different measures of company performance depending on their criteria.

Trading history can also influence the lenders available.

You can read more on my Self-Employed Mortgages page.

Can I Remortgage After Changing Jobs?

Potentially. Changing jobs does not automatically prevent you from remortgaging.

Different lenders have different approaches to:

New employment.
Probation periods.
Future employment contracts.
Salary increases.
Employment gaps.
Changes in profession.

If your mortgage deal is ending around the same time as a job change, it is worth discussing this early.

There may still be suitable options available.

Remortgaging With Bonus, Commission or Overtime Income

Income is not always made up solely of basic salary.

You may earn:

Regular overtime.
Annual or quarterly bonuses.
Commission.
Shift allowances.
Performance-related income.

Lenders can differ in how much of this income they include in their affordability calculations.

They may also require evidence showing that the income has been received over a certain period.

The lender that was suitable when you originally bought your home may therefore not

necessarily be the most suitable lender when you remortgage.

What If My Income Has Fallen?

If your income has reduced since you last arranged a mortgage, this may affect your ability to move to another lender.

However, that does not automatically mean you have no options.

Your existing lender may offer product-transfer choices that do not always require the same assessment as moving to a completely new lender.

The important point is to review the situation early rather than waiting until the current deal has already ended.

What If My Circumstances Have Improved?

A remortgage can also be an opportunity to review your mortgage after your financial position has improved.

For example, you may now have:

A higher salary.
Reduced debts.
More stable employment.
A longer self-employed trading history.
Greater equity.
An improved credit profile.

These changes may mean the range of mortgage options available to you is different from when you originally applied.

Can I Remortgage With Bad Credit?

Potentially. The impact of previous credit issues depends on the type, amount, severity and timing of the issue.

Lenders may consider:

Missed payments.
Defaults.
County court judgments.
Debt arrangements.
Mortgage arrears.
Other credit history.

Different lenders have different criteria.

An issue that causes difficulty with one lender may be treated differently by another.

If you have concerns about your credit history, it is usually better to discuss them before making applications.

Should I Fix My Mortgage Again?

Whether you choose a fixed-rate mortgage depends on your circumstances and preferences.

A fixed rate can provide:

Predictable monthly repayments.
Protection from increases in the mortgage rate during the fixed period.
Easier household budgeting.

However, fixed-rate mortgages can also include early repayment charges if you leave the mortgage during the fixed period.

You should therefore consider:

How long you expect to remain in the property.
Whether you may move home.
Whether you may repay a large amount of the mortgage.
Your attitude to changing mortgage payments.
The mortgage products available.

There is no universally correct fixed period.

The right decision depends on what you expect your circumstances to look like over the coming years.

Two-Year or Five-Year Fixed Mortgage?

Two-year and five-year fixed-rate mortgages are commonly compared by homeowners.

A shorter fixed period may give you the opportunity to review your mortgage again sooner.

A longer fixed period may provide payment certainty for a greater period of time.

However, the most suitable choice is not purely a prediction about future interest rates.

You should also think about your own plans.

For example:

Are you likely to move house?
Could your family circumstances change?
Are you considering making large overpayments?
Could your income change?
How important is monthly payment certainty?

Your mortgage should fit your circumstances as well as the wider market.

Should I Extend My Mortgage Term When Remortgaging?

Extending your mortgage term can reduce your monthly payment because the mortgage is being repaid over a longer period.

However, it may increase the total interest you pay.

For example, somebody with 18 years remaining may consider moving back to a 25-year term to lower their monthly commitment.

That may help short-term affordability, but it should be considered alongside the long-term cost.

Conversely, if your income has increased, you may want to explore whether reducing your mortgage term is affordable.

A remortgage can therefore be a useful opportunity to review not only your rate but your overall repayment strategy.

Can I Make Overpayments?

Many mortgage products allow borrowers to make some level of overpayment without incurring an early repayment charge.

The exact rules vary between mortgage products.

Overpaying your mortgage can potentially:

Reduce the balance more quickly.
Reduce the amount of interest paid.
Shorten the effective mortgage term.

If regular overpayments are important to you, this should be considered when selecting a mortgage product.

Early Repayment Charges

Before moving your mortgage, it is important to check whether your existing mortgage has an early repayment charge.

An early repayment charge may apply if you repay or move your mortgage before the end of an agreed period.

The cost can be significant.

Sometimes it may still make sense to change mortgage despite a charge, but in many situations it can be better to wait or arrange the new mortgage so that it begins when the charge period ends.

This is another reason to start planning your remortgage early.

Mortgage Fees and the True Cost of Remortgaging

A low interest rate does not automatically mean the mortgage is the cheapest option.

Some mortgages come with substantial product fees.

Others may have:

Lower fees.
No product fee.
Free valuation.
Cashback.
Legal incentives.

The most cost-effective mortgage can depend heavily on the size of your mortgage balance.

For example, paying a large fee to obtain a slightly lower interest rate may make sense on a larger mortgage but could offer little benefit on a smaller balance.

I look at the overall cost rather than concentrating solely on the headline rate.

What Documents Do I Need to Remortgage?

A new lender may ask for documentation similar to that required when you first purchased the property.

This may include:

Identification.
Proof of address.
Payslips.
Bank statements.
P60.
Evidence of bonuses or commission.
Details of existing credit commitments.
Current mortgage details.

Self-employed applicants may also need:

Company accounts.
Tax calculations.
Tax year overviews.
Business bank statements.

The exact requirements will depend on the lender and your circumstances.

How Long Does a Remortgage Take?

There is no fixed timescale.

The process can depend on:

The lender.
Your application.
The property valuation.
Legal work.
Whether additional documents are required.
Whether you are raising additional borrowing.

Straightforward cases can sometimes progress relatively quickly, while more complex situations may take longer.

Starting several months before your existing deal ends can provide useful breathing room.

Why Use a Mortgage Broker for a Remortgage?

It can be tempting to simply accept the new deal offered by your current lender.

Sometimes that may be the right option.

But without comparing it with alternatives, you may not know whether another

mortgage could work better.

As a Mortgage Broker, I can help you look at:

Your current lender's options.
Alternative lenders.
Interest rates.
Mortgage fees.
Early repayment charges.
Loan-to-value.
Monthly payments.
Overall mortgage cost.
Additional borrowing requirements.
Your future plans.

The aim is to help you make an informed decision rather than simply changing mortgages because your current deal is ending.

Let's Find Out What Your Next Mortgage Could Look Like

Whether your mortgage deal expires next month or you're simply planning ahead, I'm here to help.

I'll take the time to understand your existing mortgage and what you want to achieve, then explain the options available to you.

No pressure and no need to have everything figured out before we speak.

Speak to Oliver About Remortgaging

Remortgage Advice Across Manchester and Cheshire

I provide remortgage advice to homeowners across Manchester, Cheshire and the surrounding areas.

This includes clients in locations such as:

Altrincham
Hale
Hale Barns
Bowdon
Sale
Didsbury
Wilmslow
Alderley Edge
Prestbury
Knutsford
Mobberley
Handforth

I can also provide mortgage advice remotely, so you do not need to live locally for me to help.

Common Remortgage Mistakes

Leaving It Too Late

Waiting until your current mortgage deal has already ended can limit the time available to review alternatives properly.

Automatically Accepting Your Current Lender's Offer

A product transfer may be suitable, but it is still worth understanding what other options may be available.

Looking Only at the Interest Rate

Mortgage fees can significantly change the overall cost.

Ignoring Early Repayment Charges

Moving too early can result in substantial charges.

Extending the Term Without Considering the Long-Term Cost

Lower monthly payments may come at the expense of paying interest for longer.

Borrowing More Than You Need

Releasing equity can be useful, but additional mortgage borrowing increases the amount secured against your home.

Making Financial Changes During the Application

Taking out substantial new borrowing or changing your circumstances while a mortgage application is underway can potentially affect the lender's assessment.

Remortgage FAQs

What does remortgaging mean?

Remortgaging means replacing your existing mortgage with a new mortgage, often with a different lender.

Do I have to change lenders to remortgage?

No. You may also be able to move onto a new product with your existing lender, commonly known as a product transfer.

When should I start looking at remortgaging?

It is generally sensible to begin reviewing your mortgage several months before your current deal ends.

Can I remortgage before my fixed rate ends?

Potentially, but you should check whether early repayment charges apply.

Can I borrow more when I remortgage?

Potentially. Additional borrowing will usually depend on your property value, available equity, income, affordability and lender criteria.

Can I remortgage if I am self-employed?

Yes, subject to lender criteria. Different lenders assess self-employed income in different ways.

Visit my Self-Employed Mortgages page for more information.

Can I remortgage after changing jobs?

Potentially. Different lenders have different rules regarding new employment and probation periods.

Can I remortgage with poor credit?

Potentially. The options available depend on the nature and timing of the credit issues as well as your wider circumstances.

Is it better to remortgage or stay with my existing lender?

There is no universal answer.

A product transfer may be simpler, while moving lender may provide access to different mortgage products.

Comparing both can help you make a more informed decision.

Do I need a solicitor to remortgage?

Legal work is often required when moving to a different lender, although some mortgage products may include legal services as part of the remortgage package.

Will my house need to be valued?

A new lender will generally need to establish a value for the property, although the method used can vary.

Is remortgaging worth it?

That depends on the financial benefit after taking account of interest rates, fees, repayment charges and your future plans.

Ready to Review Your Mortgage?

If your existing mortgage deal is approaching its end, you do not need to wait until the final few weeks to start thinking about what comes next.

Reviewing your mortgage early gives you time to understand your current position and compare the options that may be available.

I can help you look at your existing mortgage, property value, loan-to-value, income and future plans before considering whether staying with your current lender or moving elsewhere may be suitable.

If you are thinking about remortgaging, get in touch and we can start by reviewing your current mortgage and what you would like your next mortgage to achieve.