Remortgage Guide
What is a Remortgage?
Remortgaging means switching your current mortgage to a new deal - either with your existing lender or a different one.
You’re not moving home, but you’re changing the mortgage terms on your current property.
Why Remortgage?
- To get a better interest rate
- To release equity for home improvements or other costs
- To consolidate debts
- Because your current deal is ending
Most people remortgage every 2-5 years to avoid slipping onto higher Standard Variable Rates (SVR).
When Should I Remortgage?
Start reviewing your mortgage 3-6 months before your current deal ends.
Reasons to act now:
- Your fixed/tracker rate is about to expire
- Interest rates have dropped
- Your property value has increased, improving your loan-to-value (LTV)
- You want to borrow more for improvements or other needs
Acting early gives you time to lock in a deal before rates change.
How Much Can I Borrow When Remortgaging?
Lenders assess affordability even when you already own the property.
They’ll look at:
- Income and outgoings
- Credit score
- Current mortgage balance
- Loan-to-value (LTV) ratio
Example: Property value = £400,000, Mortgage left = £250,000 → LTV = 62.5%
Lower LTV usually means better rates.
Types of Remortgage Options
- Product Transfer: Stay with your current lender, switch to a new rate. Fast and simple.
- Remortgage to a New Lender: May offer better rates or incentives like cashback.
- Equity Release: Borrow more money based on the equity in your home (usually for improvements, debt consolidation, or large expenses).
- Capital Raising: Release funds to pay for school fees, weddings, buy-to-let deposit, etc.
Always weigh the pros and cons of borrowing more - it increases your debt.
What Fees Are Involved?
- Valuation: Often free when switching lenders
- Solicitor fees: Typically £0-£300 if remortgaging (some lenders include legal fees)
- Broker fee: Varies - we’ll always be transparent
- Early Repayment Charge (ERC): If leaving a fixed-rate deal early, this can be significant - check your mortgage statement
- Exit fee: Also known as a deed release fee - typically £100-£300
We help you calculate the true cost of switching vs staying put.
Remortgage Timeline
- Speak to a broker (ideally 3-6 months before your deal ends)
- Review available options
- Apply for a new mortgage
- Valuation and legal checks completed
- New lender pays off old mortgage
- New deal starts
This typically takes 4-6 weeks if no delays.
What About Bad Credit or Low Income?
Even if your situation has changed, there are still options:
- Specialist lenders for those with missed payments or defaults
- Flexible affordability checks for self-employed or variable income
- Manual underwriting for complex cases
Don’t assume you won’t qualify - let us assess your situation first.
Protecting Your Home and Family
Remortgaging is a great time to review your protection:
- Life insurance: To pay off the mortgage if something happens
- Income protection: Covers your bills if you’re too ill to work
- Critical illness cover: Pays a lump sum if diagnosed with a serious illness
Peace of mind for you and your family during uncertain times.
Why Use a Broker for Your Remortgage?
- Access to over 100 lenders, including exclusive deals
- We compare the market and explain the options clearly
- Save time and avoid stress
- We’ll help you avoid hidden fees and expensive standard variable rates
- Advice on protection, equity release, and raising capital
We’re not tied to any one bank - we work for you, not the lender.
Why Choose Home Me Mortgages?
- Trusted by hundreds of homeowners
- Local expertise with national reach
- Transparent advice and support every step of the way
- Real people, no jargon - just results
Let’s make sure your mortgage is working for you, not against you.