There are many reasons why a borrower would consider a remortgage on their property. Many of the more popular reasons are:
- To get a better deal through a new lower interest rate and lower monthly payments.
- To consolidate debt that you may have on credit/store cards and other loans.
- To raise finance for another project such as home improvements or the purchase of a particular item such as a car, holiday, and all the other things you need the money for.
- Your situations has improved and therefore are eligible to go to a better and more secure lender.
- You are looking to shorten the length of your mortgage.
- Or you are looking to reduce your payments by lengthening your mortgage term.
- Your current lender is not offering you a better deal now that you have gone on to their standard variable rate.
- You want to be a normal borrower again having been penalised for previous bad credit or your employment type.
- Maybe not touching the existing mortgage is an option and there are other ways to do this.
The list goes on as does the various ways in which you can approach this.
You current lender is going to not want to lose you. Once they know you are looking at remortgaging they should be offering you terms through a new interest rate, or the extra money you are looking to borrow.
But how do you know if it is the best you can get?
It may have been years since you last looked at your mortgage and what you were eligible for.
Like others, speak to one of the teams that Open Mortgages work with. They will quickly look at your current situation and offer you some solutions and suggestions that solve your remortgage requirement. It may be that staying with your current lender is the best advice, but you are not going to know that unless you check.
And, if moving the mortgage to a new lender is what you decide, they can work with you to help guide you through the whole process of moving to a new mortgage lender. From your application, to the new lenders offer of a mortgage, to its satisfactory completion (and everything in between).
What if your current mortgage lender doesn’t want to help you this time?
Since you took out your current loan it may be that the lender has changed its criteria. Maybe your credit file isn’t as strong this time round, or your personal circumstances may have changed.
Have you fallen foul of the new affordability rules that the banks are now following? Or maybe you have missed payments on agreements, or picked up some defaults or CCJ’s along the way and now need to consider a mortgage that allows for previous bad credit.
Your Mortgage Broker is going to be able to steer you through this and offer you some solutions with a new lender if required.