There are many reasons why you’ll need to remortgage your home.

• Your fixed-rate agreement has ended: Once your fixed-rate agreement ends, you’ll be swapped to the often higher standard variable rate (SVR). To save, you’ll want to enter into a new mortgage.
• You want to lower your interest rates: If interest rates have significantly dropped since you first entered your fixed-rate agreement, you’ll want to go to a remortgaging broker to see your other options. Just remember, if you are currently in a fixed-rate agreement you may need to pay an exit or early repayment charges.
• Home improvements: Remortgaging can also be used to add to your loan. For example, you can do a remortgage to get more money out that you can use to make key home improvements.
• Debt consolidation: If you have other debts, you may be able to consolidate them into a single repayment with your mortgage. This is a complicated process, however, so make sure you get updated advice on your options from an FCA-certified remortgage advisor.
• Your finances have changed: If you started earning more money or your credit score has significantly improved, then you’ll want to see what remortgage deals are out there that can help you pay less in interest.

How does remortgaging work, exactly? Remortgaging means looking at the available remortgage deals and selecting the best one for your circumstances. You will then need to make a full mortgage application, even if it’s with the same lender you have had previously.

• Shop Around: Compare mortgage deals from different lenders. Many use comparison websites or a mortgage broker to find the best option.
• Apply for the New Mortgage: If you find a better deal, you apply for a new mortgage, usually subject to a valuation of your property and a credit check.
• Legal Work: A solicitor or conveyancer will handle the legal side of paying off the old mortgage and setting up the new one.
• Completion: Once everything is approved and the legal work is done, the new mortgage pays off the old one, and you start paying the new lender.

• Early Repayment Charges (ERC): If you remortgage before the end of your current deal (e.g., a fixed term), you might have to pay an ERC.
• Arrangement Fees: Many new mortgage deals come with an arrangement fee.
• Legal Fees: You’ll need to pay legal fees, though some lenders offer free legal services or cashback deals.
• Valuation Fees: Some lenders might require a new property valuation, which can also come with a fee.

While you can technically remortgage at any time, some risks and penalties are involved if you try to remortgage during a fixed-rate agreement. That’s why you’ll want to look at remortgage deals during these periods:

• End of your fixed-term agreement: Once your fixed-term agreement ends, you’ll want to see the available remortgage rates from top lenders throughout the UK.
• Interest rate reduction: If interest rates have dropped dramatically, get in touch with a mortgage advisor remortgage specialist for the best remortgage rates.
• Change in property value: if your home is now worth more (for example, after a big renovation, you may be able to negotiate better terms.

You may be wondering, can you remortgage early? To help, we’ve put together a full guide so you understand your options and the penalties that come with remortgaging during your fixed term.

You’ll only want to remortgage early if your broker remortgage specialists find a new mortgage offer that helps you save significantly over time.

How long does a remortgage take? The answer varies depending on whether you’re in a fixed-term agreement, if your circumstances have changed, and even if the value of your home has changed, so you’ll need to get in touch with one of our remortgaging experts to learn more about your specific timeline.

You will, for example, always need to go through these steps:

1. Use a remortgaging broker to see your available remortgaging rates
2. Make a mortgage application
3. Go through affordability checks
4. Get your property evaluated
5. Accept and sign the formal mortgage offer

There are a few drawbacks to remortgaging:

1. Fees may end up costing you more: With early repayment fees and exit charges, you may end up spending more than you save on the new mortgage offer.
2. Longer debt period: If you borrow more or consolidate debt into one mortgage, you may end up with a longer mortgage term and pay more interest in total.
3. Losing benefits: some mortgages have benefits, and changing lenders will mean losing those benefits.

Your remortgage broker can help you understand each of the risks fully.