If you are looking at remortgaging your property but are unsure whether it’s the right decision, we have listed five reasons why it might be for you. There are other reasons but here are just a few.
1) Your current mortgage deal is ending
The majority of mortgages have an initial deal such as: fixed or tracker which for two, three, five or even ten years. After this time, the rate automatically goes onto the lender's Standard Variable Rate (SVR). The SVR will usually be much higher than your initial rat. It is therefore important to start researching a new product around 6 months before your deal is about to end. This will make sure you find one that is most suitable for you and allow you time to make the switch.
2) You are looking to find a better deal
With rates being record-high, many people believe they can get a better deal elsewhere. If you are on a fixed-rate mortgage deal – you may have to pay an early repayment charge or leaving fee to your existing mortgage so you must look at the overall costs before switching.
3) You want to borrow more money
Mortgage providers will lend extra money for a variety of reasons including, the most popular is making home improvements. You will have to give the reason as to what you are planning on using the money for, and the lender will do a full affordability assessment to ensure the new higher loan is affordable.
4) You want to pay off debts
Using the money released from your home through paying off debts with high-interest rates can make payments more manageable and reduce your monthly costs. However, there are risks involved in consolidating debt into your mortgage and you could end up paying more interest in the long run. It is very important that you take advice in this area
5) To change to a buy to let mortgage
If you are living in your property and your circumstances change and you want to let it out, you must seek your lender’s permission. Some lenders will give you “permission to let” but if you want to borrow more money or change the structure of the loan, you will need to remortgage to a Buy to Let lender.
To learn more about remortgaging and to find out if it’s right for you, get in touch with Mortgage Required: 01628 507477 | team@mortgagerequired.com.
Yesterday
Skipton Building Society launches ‘Delayed Start’ mortgage meaning first time buyers won’t be required to make repayments for the first three months.
According to a survey by Skipton, first time buyers who bought their home in the last five years found that in the first three months of living there, they were spending upwards of £30,000.
6 days ago
If you have recently moved into a property with a garden that requires a little TLC, or you’d like to get on top of your current green space, check out our tips.
9 days ago
High street lender, NatWest, have launched a new product to help first-time buyers purchase a property with assistance from a family member or friend to get them on the property ladder sooner.
10 days ago
‘Buy Now, Pay Later’ (BNPL) schemes, such as ‘Klarna’ are short-term loans that allow shoppers to make a purchase, but delay paying for it for an agreed amount of time.
Klarna is one of the most popular BNPL services with 18 million customers in the UK alone, and offers interest-free payment options which is appealing to shoppers. However, does it affect a mortgage application?
15 days ago
We look at how to get the best Buy to Let mortgage rate, what's in store going forward, and options as a landlord with increasing costs.
24 days ago
Throughout this past week, lenders have continued to reduce their mortgage rates giving borrowers in the UK some welcome news following the change in global tariffs under US President, Donald Trump.
24 days ago
Did you know that buying a house, or relocating is in the top 10 most stressful life events?
Stress of course is an unavoidable part of life and there are many reasons why people experience stress, not just buying a house!
There are lots of effective ways to manage and reduce stress, check out our tips to help you.
With the stamp duty relief ending in England and Northern Ireland, we have listed the top 10 cheapest areas for first-time buyers as published by Rightmove.