How to Remortgage Your Home Guides

Remortgaging Can Save You Big Time

A mortgage is one of the most significant financial commitments any person will make in his or her life. There are a variety of factors that will affect your ability to get a reasonable interest rate, but it does not mean that you can’t do anything else to ensure that you are getting the best deal possible. This is the reason why for some, remortgaging can save you big time by reducing thousands in interest repayment. Consider this – when you buy a consumer product, you always shop around first for the best deals. Of course you do. Then why […]

When can you Remortgage your home?

While it is true that you can remortgage your home anytime you want, there is really not much benefit to it if your only reason for doing so is to switch from one mortgage lender to another. Timing is crucial to guarantee that you are getting the most out of a new mortgage deal. So, what are the things to consider when remortgaging? In the past, people tended to pay off their mortgage loan using the same lender all throughout the life of the mortgage. These days, this practice is infrequent indeed. It is now more common to remortgage than […]

When should you remortgage

Remortgaging has become an increasingly popular money-saving approach amongst homeowners who are looking for better rates than what their current and respective deals are. Because mortgages can often put a sizeable dent in the bank, it’s not just an option that should be considered especially by those who can ill-afford the existing repayments or perhaps need the cash value that is currently locked within the property. As effective as remortgaging can be to save money and reduce overall expenditure in the long run however, the desired results that it can produce depends on knowing exactly when to pursue it. It […]

How much can I borrow remortgage

A remortgage can be beneficial in reducing expenditure on monthly repayments and ultimately aid homeowners is saving money. While this may certainly be its primary purpose for many homeowners however, a remortgage also provides a means for those lacking in funds to acquire some much needed cash in the event that it becomes a necessity instead of dipping into their own savings. But the amount that can be borrowed depends on a number of factors and can be a little tricky to ascertain. Here are a few elements that are generally considered by lenders to help them better form an […]

How much can I remortgage my house for

Many homeowners continue to take advantage of cheaper mortgage rates in order to pragmatically approach remortgaging and switch to lower repayments or in some cases release the monetary equivalent of their respective properties when the need arises. The popularity of this option stems from being a much more economical recourse but also a necessity to avoid having to move from their current residence due to of both stamp duty and high home prices. However, stricter rules make it more difficult to switch mortgages and lending criteria has changed and become complicated in the last few years. To this end, it’s […]

Can I get a mortgage with bad credit?

Can I get a mortgage with bad credit? Lenders are reluctant to offer mortgages to those with poor credit score as they would not want to be portrayed as encouraging you to take on more debt where there is potential of repayments not being made on time. It may be an idea to improve your credit score before applying for a mortgage. This can be done using a “credit builder” credit card in which you pay off the full amount owed each month to show you can manage your debts responsibly. However, these cards often how low credit limits and […]

How to get a mortgage

The first step in how to get a mortgage would be to sit down with us and discuss your circumstances and what type of mortgage you are looking for. There are several types of mortgages, each suiting different people’s circumstances. Fixed Rate Mortgage With fixed rate mortgages, your interest rate and monthly repayments will be fixed for a certain amount of time. This will mean you will know exactly how much you are paying each month for the term of the fixed rate. This would mean however, that your interest rate will stay the same even if other rates go […]

Different Types of Mortgages

Getting the right mortgage can be a confusing, if not a scary process and whether you’re applying for one the first time or planning for a remortgage, the different types of mortgages available make it harder to decide on the right one. The first step to figuring out the right mortgage for you is to understand the different types of mortgages that are available. The second step is to narrow down to a couple of options that seem suitable and enquire about them. Step One: Types of Mortgages explained There are different types of mortgages, including: Repayment Mortgages Interest-Only Mortgages […]

What do I need to apply for a mortgage?

In order to apply for a mortgage, there are specific documents that will need to be readily available. We will ask for these before we submit the full application to the lender. The specifics will be dependent on your circumstances and the lender of which you are applying to. What do I need to apply for a mortgage? A great place to start would be getting a copy of your credit report. Ensure you are registered on the electoral roll at your current address Ensure your address history is accurate Avoid payday loans and overdrafts where possible Different lenders will […]

How long does it take to get a mortgage?

How long does it take to get a mortgage? Well, that depends on a variety of different factors including: The type of mortgage being applied for i.e. a remortgage or a purchase The time it you takes to gather the necessary documentation for the application The turn-around time of the mortgage lender The turn-around time of your conveyancer The complexity of the mortgage application Typically, the process begins by getting a Mortgage Agreement In Principle. The mortgage lender will perform a credit search and agree a figure that they would be willing to lend you for mortgage purposes. However, […]

What is a mortgage decision in principle and how long does one last?

A mortgage in principle is an agreed figure from the lender that they would be willing to lend you. In order to do so they will gather basic information and perform a background credit search. A mortgage in principle is not a guarantee and a full application and assessment will have to be made before the lender can issue you with a mortgage offer. A mortgage in principle can last between 60-90 days depending on the lender. Because a credit search is needed, multiple decision in principles could have a negative effect on your credit score.

Mortgage in Principle & Mortgage Offers

What is a mortgage in principle and mortgage offer? A mortgage in principle is an agreed figure from the lender that they would be willing to lend you. In order to do so they will gather basic information and perform a background credit search. A mortgage in principle is not a guarantee and a full application and assessment will have to be made before the lender can issue you with a mortgage offer. A mortgage in principle can last between 60-90 days depending on the lender. Because a credit search is needed, multiple decision in principles could have a negative […]

What is a mortgage offer and how long does one last?

What is a mortgage offer? A mortgage offer, otherwise known as the “offer of advance” is the formal document issued by the lender to the borrower to confirm that they are happy to lend the agreed amount. So, what is a mortgage offer? Well, it is a binding contract between the borrower and a mortgage lender. This confirmation that the lender will provide you with a mortgage comes after the lender has fully assessed your circumstances and a full application is made alongside a valuation of the property. Typically that means that: you as a borrower have the appropriate income […]

What does remortgage mean?

What is remortgage? A remortgage is the process of switching your existing mortgage deal to a new deal and potentially a new provider. You’re not moving house and the mortgage is still secured against the same property. You can remortgage to get a better rate or to raise capital. Why should you remortgage? Here are some reasons that you may decide to remortgage; To take advantage of a new, lower rate To consolidate debts To fix and reduce your monthly outgoings To raise capital for home improvements or property investment Taking a new deal can potentially save you money, depending […]

Should I remortgage?

Should I remortgage? “Should I remortgage?” – the answer is yes, under certain circumstances. The main reason to remortgage is to reduce your monthly repayments. Reasons why you shouldn’t include an increase in interest rates or having to pay an Early Repayment Charge (ERC). Why do people remortgage? There can be various reasons to remortgage but usually it is to get yourself a better deal such as a lower interest rate or a mortgage that suits your situation better like fixing the interest rate for a certain amount of time. It may be that you wish to take out […]

How much does it cost to remortgage?

How much does it cost to remortgage? When it comes to remortgage costs, you should take into account the monthly repayments as well as any associated fees and early repayment charges that may apply. This will help you work out exactly how much you will be saving by remortgaging. Below are some remortgage costs that may apply: Remortgage Arrangement fees Many lenders charge an arrangement fee to set up a new mortgage. The amount charged varies depending on the lender – with some not charging a fee at all. Some will be a fixed amount whereas some will be charged […]

What information do I need for my remortgage?

What information do I need for my remortgage? There are several things you need in order to remortgage. See below our remortgage checklist. Existing Mortgage Details You need to have several documents in place before you can consider applying for a remortgage. This includes your current mortgage details, including outstanding balance, term of your mortgage and the monthly repayments. We will also need to know of any early repayment charges that may be payable. Income details It is important to check affordability of a mortgage and this can be done done through looking at income proof. This can be provided […]

Things to consider when remortgaging

What is a remortgage? Remortgaging means moving your current mortgage to a new lender whilst you remain in the same property. The main reason to remortgage is to ensure you are not paying more than you need to. Moving to a new lender with different interest rates could save you a lot of money in the long run so it is worth considering. You could remortgage to fixed your monthly repayments for a certain period of time – this will ensure your monthly repayments will remain the same during this time. Many people also remortgage to raise capital to pay […]

How does remortgaging work?

How does remortgaging work? Remortgaging is usually simpler than buying a new house and the chain of events is often shorter. It will often start by discussing what it is you would like to remortgage for whether it be to secure a lower interest rate or raise capital for home improvements or to consolidate unsecured debt. The size and remaining term of the mortgage can affect whether or not it is worth switching. If the cost of switching is greater than the saving, then it not worth remortgaging. How long does it take to remortgage? Once we have discussed your […]

How do I remortgage my home?

How do I remortgage my home? You may want to remortgage for a variety of reasons including securing a lower interest rate, consolidating debt or raising capital for home improvements. There are several stages in getting a new mortgage however we are here to help every step of the way. Below are briefly the main points of how to go about remortgaging your property. Firstly, a discussion around how much you can afford to pay each month should take place – including considering how much you could potentially afford if the repayments were to increase. You may not necessarily be […]

Can I remortgage my home?

Can I remortgage my home if I own it outright? Yes – however the mortgage rates available to you will depend on the loan to value ratio (the percentage of how much you want to borrow against the current property value of your home). Some lenders may not offer you deals from their remortgage range but instead from their purchase range which could workout being a better rate for you. You will need to meet the lender’s criteria and prove that you can afford the monthly repayments of the new mortgage. Can I remortgage my home when I’m over 60 […]

When is the best time to remortgage?

You can remortgage at any time but it is not worth doing just to switch lender. There are certain times which could be more advantageous when it comes to remortgaging. So, when is the best time to remortgage? Low interest rates At the end of your current term When you have built up a certain amount of equity in your property When remortgaging and the costs of doing so still work out less expensive than your current mortgage When is the best time to remortgage? When interest rates are low Mortgage lenders are always providing new deals and mortgage […]

Niche Mortgage Products

Niche mortgage products are mortgages that are not run-of-the-mill and are modified to take into account special circumstances or properties. Examples of niche mortgage products are: Sub Prime Products Sub prime products are for people who do not fit high street lender’s lending criteria. This tends to be due to past credit problems such as missed payments, county court judgements or bankruptcy, which makes the borrower ineligible for standard mortgage deals. Sub prime products tend to have higher interest rates as the borrower is considered a higher risk. If you feel that you have credit issues or have been refused […]

What is an offset mortgage?

Offset mortgages are linked to saving accounts. You will pay interest on the different between the outstanding mortgage balance and the amount of savings in your account. For example, if you owe £200,000 in total and you have £50,000 in savings, your interest rate for that month will be calculated on £150,000. You are usually able to decide whether to keep the monthly repayments the same each month or to reduce them when the amount of offset savings increase. You are still able to access and use your savings however the more to offset, the faster the mortgage will be […]

What is a tracker mortgage?

A tracker mortgage is dependent on the Bank of England Base Rate, meaning when this fluctuates, your monthly repayments will also change accordingly. The interest payable on a tracker mortgage is usually a certain margin above the Bank of England Base Rate – for example the Base Rate plus 1.00% with some trackers having a “floor” of which the rate will not fall below. Lifetime trackers track the Base Rate for the full life of the mortgage. They tend to be at a higher rate than other trackers however due to not having to switch lenders or products every couple […]

What information do I need for my life insurance application?

In order for us to submit your life insurance application we will need the following information from you: Your height and weight GP details – including name and address Your medical history including details of any current or previous illnesses Details of any current medication or previous medication taken in the last 5 years Details of any family history of serious illnesses Your existing policy information – including provider, sum assured, term of the policy and policy number. Bank Account Details – for the account you wish the monthly premiums to be taken from. Once your application has been submitted […]

What is a variable rate mortgage?

The interest on a variable rate rises and falls as changes in interest rates occur. There are different kinds of variable rates offered by lenders including a standard variable rate, a tracker rate or a discounted rate mortgage. Your monthly mortgage repayments are most likely to fluctuate whilst being on a variable rate unlike those on a fixed rate for example meaning your mortgage repayments could be different each month. The rate you will pay is entirely dependent on your mortgage lender, with changes to it not necessarily being affected by the Bank of England Base Rate. Standard variable rate […]

Affordability

At the moment it is easy to lull yourself into believing you can afford the mortgage you need – mortgage rates are at all-time lows and feel easily affordable. However, you need to ask yourself not only can you afford it today but can you afford it in the future when mortgage rates return to more normal levels. Let’s say you manage to find a buy-to-let mortgage with an interest rate of three percent, fixed for three years. That’s a great rate. After three years you find interest rates have gone up and the best deal you can now get […]

Remortgage Your Home guides