There are a multitude of reasons why you may not have considered switching your mortgage yet, but it is very possible that those reasons are actually myths.
Here are some of the main reasons why many people haven’t remortgaged yet and why now could be a good time to speak to a mortgage adviser.
Remortgaging certainly can seem both time consuming and confusing, especially in uncertain times. We are here to help you with in-depth knowledge of the current mortgage products that are available.
Initial consultations are available via phone and video call where our advisers take time to understand your current mortgage situation and are able to clarify anything you’re not sure about.
We then carefully search the mortgage market for you, finding the most appropriate mortgage to suit your individual circumstances and undertake all the work processing your application, completing all the paperwork and handling all communications with your recommended lender until your new mortgage is set up and complete.
A lot of mortgage deals do come with an Early Repayment Charge as part of their terms and it is important to check if that applies to your current product.
Usually these charges decrease over the term of your mortgage deal, so could be 5% in the first year but then only 1% in the final year. So, as you can see, it doesn’t always mean you’re better off staying with your existing lender, especially when rates are at an all-time low. Speaking to a professional mortgage adviser can confirm if you would be better off sticking with your current lender or moving.
It can seem easier to stick with your current lender and do nothing, but once your initial deal ends, you will be moved onto their Standard Variable Rate and often, this means your monthly payment will increase. It’s important to check your mortgage suitability to make sure you have the right mortgage for your circumstances and aren’t wasting money.
It is also possible to undertake a product transfer whilst remaining with your existing lender and we can help with this. You get to stay with the same lender but we ensure you’re on the right deal and we take care of all the paperwork for you.
You change your utility, phone and broadband provider, so why not your mortgage provider?
It is possible to make significant savings by switching mortgage lender, especially if your fixed rate term has come to an end and you are switched to your lenders standard variable rate.
There is no denying that there are some costs associated with remortgaging. You will have to pay for a valuation and legal costs, but in many cases you are able to get these costs covered by the new mortgage lender as part of your deal.
Likewise, some mortgage deals carry an arrangement fee, but this is the same whether you stay with your current lender or move to a new one. We recommend that on larger mortgages you should consider deals with an arrangement fee as you are able to secure lower rates, but most lenders also offer a fee free options on a slightly higher rate.
Part of the service we provide considers all of the associated costs to make sure we help you find the right deal to suit your needs.
Many people choose to release money (equity) from their home whist remortgaging to pay for things like home improvements or repaying debts. But remortgaging can just be about switching to a better deal which saves you money, or to add features that your current lender doesn’t offer, like being able to overpay large amounts or offset your savings against your mortgage.
Actually, now is a great opportunity to consider switching your mortgage. Interest rates are at an all-time low and most lenders have introduced a range of offers that mean borrowers can move to a better and more affordable deal.
Our advisers are all working remotely and are available to help you with your remortgage or any questions you may have.