When your mortgage deal comes to an end your lender may not offer you a new deal but may put you onto their Standard Variable Rate, this could be much more expensive than a different mortgage. Even if your lender offers you a new deal it may not be one of their best products and not one of the best on the market.
During a short phone conversation we could indicate to you the type of rate you should expect to get from the open market. Of course we would like to recommend the best mortgage for you from a comprehensive range, although we cannot do that until we understand your situation and needs.
The best way to achieve this is to meet one of our mortgage specialists, who will be pleased to visit you in your home at your convenience, and without any initial fee for our advice.
Call us on 01638 660937 for friendly professional advice.
Remortgaging is much simpler than buying a new home because the legal work is less complex. The lender will still need information from you although the detail varies from lender to lender. We will deal with the lender for you and only pass on the appropriate information to meet their requirements, saving you time and effort in finding old documents. We will also help manage the process by liaising with the lender, valuer and solicitor on your behalf.
We can normally complete an application for you online and you will only need to sign a declaration to the lender. The lender will require a valuation, in some cases they will pay for this or refund you the cost on completion of your remortgage.
Conveyancing work will need to be carried out. We can help with finding a solicitor if the lender does not instruct one. During the conveyancing process, local searches will be conducted and a report on title will be sent to your new lender.
The solicitor will ensure your previous lender is repaid when funds are released by your new lender. If you are releasing equity in your home the solicitor will release those to you on, or shortly after, completion.
The costs that apply are listed below but on some remortgage deals the new lender will meet some or all of these:
Why Not Remortgage?
Many borrowers can save money by remortgaging but there remain some cases where applying for a remortgage is not a recommended option.
If you have Early Repayment Charges
If you have a mortgage with a tied in period like most fixed rate or discounted mortgages you may find that early repayment charges make it very expensive for you to change lenders. In some cases these early repayment charges can stay in force long after the original fixed rate or discount has run out. Talk to us for advice if you have any questions.
If You Have a Very Small Loan
Many lenders accept remortgage applications only if the loan required is above a minimum level of about £25,000. Fees may also be a problem with very small remortgage loans, as these may outweigh the small saving on offer.
If Your Employment Status Has Changed Recently
Lenders need to feel sure you will be able to repay the loan you take on, so they need to know your likely future income. If you have recently changed your work status from employee to self-employed, but have not yet had time to build up a reasonable track record for your business, you may find it difficult to get a good remortgage deal. Again talk to us for advice if you have any questions.
If you have changed jobs and are in a probation period or have been there for less than six months a lender may require confirmation from your employer on your job security.
THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR PROPERTY MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE. SHIRE FINANCIAL SERVICES LIMITED IS AN APPOINTED REPRESENTATIVE OF SESAME LIMITED WHICH IS AUTHORISED AND REGULATED BY THE FINANCIAL CONDUCT AUTHORITY. COMMERCIAL MORTGAGES, INCLUDING BUSINESS BUY TO LET, ARE NOT REGULATED BY THE FINANCIAL CONDUCT AUTHORITY. FOR COMMERCIAL MORTGAGES WE ACT AS INTRODUCERS ONLY. THE FCA DOES NOT REGULATE SOLICITORS AND WE ACT AS INTRODUCERS ONLY.