Remortgages

Has your current mortgage deal come to an end? Are you looking to lock into another rate, rather than shift onto your lender’s Standard Variable Rate? Or maybe you’re looking to raise more cash from your home?

Then remortgaging could be the answer.

Remortgaging lets you pay off your existing mortgage and switch to another lender. There are good reasons to consider remortgaging, but you need to look at all the facts, benefits and risks first.

Save money

Once the term of your fixed-rate period has come to an end, you will usually be put onto your lender’s Standard Variable Rate (SVR), which may not be as competitive as the interest rate you have been paying. If you’re on a SVR now, then remortgaging could enable you to fix into a new, lower rate.

Avoid moving home

By remortgaging you can unlock further cash from your home. It could work out cheaper and be much more convenient than having to uproot from the home you and your family love.

Raise money

If you and your home have benefitted from recent house price increases then you’re likely to have a lower loan to value than when you first bought it. This means you could increase your mortgage to raise a cash lump sum, rather than borrowing separately (and in some cases more expensively) from other sources.

Consolidate debts

Remortgaging can help you to release some of the equity tied up in your property to clear some or all of your debts, such as a bank loans and credit cards, which usually charge much higher rates of interest than your mortgage.

While this is likely to reduce your total monthly payments and make your day-to-day finances more affordable, it may mean you pay more over the long-term. Your Bower specialist will be able to advise you on this

Adapt to your circumstances

If your financial circumstances have changed in recent months or years, then you may now want a mortgage that can accommodate these changes. Perhaps the ability to make higher overpayments is appealing, or you may want lower monthly repayments on a lower rate, or spread over a longer period.

Again, your Bower specialist will get to know you and your circumstances. They’ll have expert knowledge of which lenders are the best ones to approach on your behalf if you need any of the following:

Small loan

Many lenders only accept remortgage applications if the required loan is over £25,000. Fees may also be a problem with very small remortgage loans, as these may outweigh the saving on offer.

Early Repayment Charges

If you’ve recently taken out a fixed rate mortgage or a discount mortgage then you may find that early repayment charges make it expensive to take your loan elsewhere during this set period. Your Bower mortgage specialist can find out if these charges can outweigh the savings you’d get from switching to the new mortgage.

Self-employed status

If you’ve recently changed your status from employee to self-employed, then you may find it more difficult to get a good remortgage deal. But it’s not impossible!

Just get in touch with the mortgage experts at Bower to find out more and see how we can help get the right mortgage for you


Think carefully before securing other debts against your home.