Could switching your mortgage save you money?
'Remortgaging' means switching your mortgage to another deal and/or another lender.
There are many reasons why you might consider remortgaging - from getting a better interest rate to releasing equity from your home.
Your current deal may have ended, leaving you on an expensive standard variable rate. Remortgaging could get you a much better rate and lower your monthly payments.
If you're worried about interest rates rising, switching to a fixed rate could give you peace of mind with predictable monthly payments.
If your home has increased in value, you may be able to borrow more to fund home improvements, big purchases, or other financial goals.
It is worth noting that a remortgage isn't always the most suitable option. Sometimes any saving made by securing a cheaper interest rate can be outweighed by the fees incurred in setting up the new mortgage. We'll do the maths for you to make sure it's worthwhile.
If you're still within a fixed or discounted period on your current mortgage, you may face early repayment charges for switching. We'll factor these into our calculations to ensure remortgaging is worthwhile for you.
Instead of taking the monthly saving from a better rate, you could choose to keep your payments the same and reduce your mortgage term. This means you'll pay off your mortgage faster and pay less interest overall.
Combining other debts into your mortgage could lower your monthly outgoings - though this needs careful consideration.
Important: Securing short term debts against your home could increase the term over which they are paid and therefore increase the overall amount payable.
THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
Get fee-free, no-obligation advice on whether remortgaging is right for your situation.
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