14 Apr 2023
Why are we not remortgaging?
Reports suggest that roughly 27% of those who hold a mortgage in the UK remain on their existing lenders standard variable rate*. A standard variable rate is a default rate set by a lender which is typically higher than what the market is offering. It is a crazy statistic when you think about how many of us chase the lower premium on our car or home insurance or look to save a few pounds on our utility bills. Even an increase of 1% on your mortgage rate could result in thousands of pounds worth of additional interest.
Remortgaging in the past has been frustrating, time consuming and sometimes expensive. Times have changed and lenders are offering better remortgage rates than ever. We all love saving money, right?
You’re often supported with the costs of re-mortgaging by covering the valuation, legal costs and sometimes even a cashback. Many lenders also offer quick turnaround times from application to offer meaning you could be saving money and time, also ensuring that your new mortgage will start immediately after your current mortgage ends.
Unsure of your options?
Re-mortgaging may not only be about reducing your monthly payment or reducing the number of years but it also provides you the opportunity to realise your dreams.
Are you running out of room and considering an extension? Are you thinking of buying an investment property? Are you looking to go on a once-in-a-lifetime holiday? Releasing equity means you borrow more than your current mortgage balance, giving you the additional funds.
Lenders will assess a number of factors to establish whether you can borrow more: the main things being income, credit score but also the equity you have available in your property (also known as your loan to value). Every lender has a maximum loan to value they allow when remortgaging, usually the maximum being 90%.
What can you do?
We’re determined to change your opinion on remortgaging. We will assess your current mortgage situation, provide professional advice and recommend a new mortgage based on what suits you. We will handle the process from start to finish making it as straight forward as possible.
As mortgages are our largest financial commitment, why are we not re-mortgaging?
Contact us today, you could save money on your mortgage.