For years, many homeowners assumed that staying with their existing lender was the simplest, safest choice when their fixed-rate deal ended. And in some cases, that may still work. But in 2025, loyalty to a lender can come at a steep price.
With rates fluctuating, criteria tightening, and lenders withdrawing products at short notice, the risk of overpaying has never been higher. This is why remortgage brokers matter: they provide whole-of-market access, assess real savings, and ensure borrowers don’t fall into the “loyalty trap.”
In Is It Time to Remortgage? Signs to Watch, we explored when borrowers should consider switching. This article focuses on why using a remortgage broker is essential in 2025—and how staying put can cost more than moving on.
The past three years have reshaped mortgage dynamics:
Against this backdrop, a broker’s role isn’t just to save money—it’s to protect clients from financial drift.
Many lenders offer “product transfers”—new deals for existing customers that require less paperwork. While these can be convenient, they’re not always competitive.
This creates what’s known as the “loyalty penalty”: borrowers pay more simply because they don’t shop around. According to industry data, staying on an SVR or taking the first transfer offer can cost homeowners £2,000–£4,000 more annually than switching.
In Why Your Mortgage Broker Might Be Costing You Thousands, we showed how advice gaps create real losses. Remortgaging is one of the clearest examples.
1. They Compare Across the Whole Market
Instead of being restricted to your current lender’s offers, a broker compares rates and terms from dozens of institutions, including building societies and niche players.
2. They Structure the Application for Affordability
Remortgaging isn’t always straightforward. Borrowers with changed income, increased expenses, or new debts may find affordability tighter. Brokers know which lenders assess more flexibly.
3. They Identify Long-Term Savings
The cheapest rate isn’t always the best. Brokers analyse total cost of borrowing, factoring in fees, incentives, and potential penalties.
4. They Handle Complex Cases
Borrowers with multiple properties, self-employment, or unusual income structures often find their lender unwilling to adapt. Brokers package these cases correctly for receptive lenders.
Remortgaging isn’t just about if you switch, but when.
In volatile markets, this timing advice can be worth as much as the rate itself.
Hidden Fees
Some remortgage offers carry high arrangement fees that eat into savings. Without a broker’s analysis, many borrowers fixate on the rate and overlook the total cost.
Missed Niche Lenders
Smaller lenders, including building societies, often offer competitive remortgage deals—but only through brokers.
Complex Borrower Profiles
Borrowers who’ve become self-employed, taken on new properties, or changed financial circumstances often find their existing lender less accommodating. Without a broker, they may wrongly assume remortgaging is impossible.
As interest rates fluctuate, remortgaging is becoming a central battleground for lenders. Expect more targeted offers, but also stricter affordability hurdles.
Borrowers should not assume their existing lender will reward loyalty. In fact, lenders often reserve their most competitive deals for new customers. This makes the broker’s role more critical than ever.
At Willow Private Finance, we specialise in helping homeowners remortgage strategically. We don’t just compare rates—we assess total cost, affordability, and long-term plans.
As a whole-of-market broker, we ensure clients aren’t limited to product transfers or subpar offers. Whether you’re a first-time remortgager or refinancing a portfolio, our goal is to make sure staying put never costs you more.
Why might staying with your current lender cost you more?
Lenders often penalize loyalty by offering suboptimal product transfer rates or letting you roll onto standard variable rates (SVRs), which tend to be much higher than switching deals.
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What is the “loyalty penalty” in remortgaging?
It’s the added cost you bear by staying put—either through higher rates on an SVR or mediocre internal offers—compared to switching to a more competitive deal via a broker.
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How do remortgage brokers add value in 2025?
They search across the full market, assess total cost (fees + rate), handle tricky borrower profiles, and advise on optimal timing to avoid disadvantageous rollover.
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When should you start the remortgage process rather than waiting?
Ideally up to six months before your current deal ends, to lock in favourable rates and avoid defaulting to an SVR in the meantime.
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What risks do borrowers face if they go it alone?
They may miss niche lender deals, fail to package their application well (especially with complex income), or ignore hidden costs and fees in a seemingly “low rate” offer.
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How does Willow help you avoid paying too much?
Willow provides full market access, structures your application for maximum affordability, compares all-in cost (rate + fees), and ensures your broker doesn’t just default you to your current lender.
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Book a free strategy call with one of our mortgage specialists.
We’ll help you find the smartest way forward—whatever rates do next.
About the Author – Wesley Ranger
Director & Founder, Willow Private Finance
Wesley Ranger founded Willow Private Finance in 2008 and has since grown it into a leading independent, whole-of-market brokerage. With deep expertise in complex and high-value lending, Wesley and his team specialise in helping clients secure solutions where others cannot—whether for prime London property, international buyers, or high-net-worth borrowers requiring bespoke finance.
Important Notice
The information in this article is provided for guidance only and does not constitute financial advice. Mortgage availability and criteria are subject to change. Always seek personalised advice before committing to any financial product. Willow Private Finance Ltd is authorised and regulated by the Financial Conduct Authority (FCA No. 588422).
