1. Always Start Early – The golden rule to anything property finance related, give yourself plenty of time. This can mitigate the impact of any potential delays either at the bank or solicitor or anywhere in between. Normally a bank with a low rate will have an influx of applications that they will need to work through causing, you guessed it, delays. We like to start client remortgages 4 or 5 months in advance as this serves two purposes. The first being that amount of time will provide enough time to complete in 99% of cases and secondly it means the lowest possible rate. For example, you come to us, you decide to do your remortgage and we find you a great deal at the bank. The rate is secured for your completion when your current deal ends. You have another 3 or 4 months to wait, but what if rates go down? We then secure you a better rate! If rates go up, no problem we already have the lower one secured.
   
   
2. Avoid The Pull Of A Freebie – The vast majority of the deals available for remortgages include free solicitors and free valuations. “No brainer” I hear you say, “the solicitors when I bought the house were £2000”. Don’t be fooled, a couple of years ago lots of banks started offering cashback instead of a free solicitor because the services received from the bank’s recommended conveyancers were appalling. The work for a solicitor on a remortgage is often much less and the cashback will cover it. It gives you the freedom of having a choice! Free valuations are worth pursuing but it’s unlikely the lender will tell you the figure, they only want to know if your property is worth enough to secure the mortgage product we applied for.
   
   
3. Don’t Zombie Walk into Keeping Everything The Same – We see far too often that remortgages are a carbon copy of the original advice, just the overall term reduced by the initial fixed term that is finishing. Take this scenario; your original mortgage was for 30 years; you took a 2-year deal which means you have 28 years left. For argument's sake your rate was 2.5% and you have £225,000 left outstanding. We always completely reassess our client’s situation because reducing the term by 4 years will save them approximately £14,000 in interest over the lifetime of the mortgage. You know what you can and can’t afford and it's our job as mortgage professionals to outline these ways to save money.
   
   
4. Don’t Limit Yourself to Your Existing Lender – It can be quite comforting when you have 5 months left until your mortgage increases by £300 per month and the lender contacts you saying, “great news, you are eligible for a new fixed rate”. What they don’t tell you is the other banks are falling over themselves to become your mortgage provider and have a lower rate. Staying with your existing lender can be useful in some circumstances such as your income decreasing but it's always worth us having a check to see what other banks in the market are offering for your circumstances.
   
   
5. It’s The Best Time To Raise Capital – If you are planning to build an extension, create a home office or buy a second property let us know because raising capital during a remortgage can be the most cost-effective time to do it. There are other options available if you are in the middle of your fixed rate, but they can often come with a higher rate and higher fees. As we are talking to you, we will be able to recommend the best way forward and keep in touch with you until it's all completed and you are happy.

Are you looking for a mortgage brokerage that can assist you? We are an independent brokerage firm that can help you find financial solutions to fit any business or personal need. Send us a message and find out how we can help you today.