The Remortgage Process


Contact Existing Lender

You'll need to request a redemption statement from your current lender if you don't already have an up to date mortgage statement. This will detail the exact amount that you still owe on the mortgage and any fees associated with it being repaid.


Fact Find & Documentation

Your mortgage broker will go through all the necessary details required in order to research and submit a mortgage application on your behalf. You'll be able to go through exactly what you're hoping to achieve i.e. a lower rate, to borrow more for home improvements, consolidate existing debt etc.


Research & Agreement in Principal

Your broker will research the current market and provide you with an illustration(s) of your best option(s). If you're happy to proceed, your broker will present your current circumstances and remortgage needs to the new lender to obtain an Agreement/ Decision in Principle (AIP/ DIP).


Application & Valuation

Assuming the AIP was successful, the broker will now be in a position to proceed to a full application with the new lender. Once submitted, the new lender will request a valuation on your property, complete their underwriting checks and your solicitor will begin the legal work.


Offer & Completion

Following a satisfactory valuation, your new lender will provide you with your mortgage offer. It's now over to your solicitor to finalise the legal side in preparation for exchange of contracts (if purchasing) and completion.


1. Why remortgage?

There are lots of reasons and scenarios that make remortgaging an appropriate and favourable option. The most common reason to remortgage is to avoid going on to your existing lenders variable rate. Remortgaging on to a lower, fixed rate could save you a significant amount each month. Other reasons include debt consolidation and raising capital to fund home improvements.

2. When can I remortgage?

Remortgaging is an option at any time, however there are likely to be early repayment charges on your existing mortgage if you were to exit the loan early. In most cases, we would advise getting in touch with your broker 6 months before your current deal ends. This will give plenty of time to prepare for a smooth application process.

3. What is a product transfer?

An alternative route to remortgaging is a product transfer also known as a rate switch. The benefits of this option is that because you're staying with your existing lender, they won't need to repeat affordability and credit checks often resulting in a more streamlined and quicker process. Product Transfers aren't always the best rate option for you, so it is always worth exploring all your remortgaging options with your broker.

4. How much does it cost to remortgage?

There are a few fees that may be applicable to you if you decide to remortgage;

  • Early repayment charge
  • Product fee to your new lender
  • Valuation and conveyancing fees
  • Mortgage broker fee (Need Financial Planning charge a fixed fee of £495)

Your home may be repossessed if you do not keep up repayments on your mortgage.

Time to remortgage.

Ready to remortgage? We're here to help. We'll cover all the costs of an initial consultation, research, illustration and obtain an Agreement in Principle for you. No obligation to proceed with our recommendations.
01843 228800