Five Things To Do Before You Remortgage

Take these essential steps before you remortgage your property

1. Ensure the valuation for your home is up to date

With house prices ever-changing, it is important to get this right. You could request two or even three estate agents to value your property (ensure there is no fee for this service). Zoopla and Rightmove are often the places people turn to when looking for a property valuation. What can be an issue is that these ‘valuations’ are usually very optimistic. Lenders will often require ‘three sold comparables’ within the immediate location. This will give them the actual sale value, not just the price the property was marketed for.

2. Forget loyalty to your current lender

Your mortgage finance can be similar to your car insurance; it often doesn’t pay to be loyal to your current provider. Shopping around can regularly provide you with a better deal on your BTL or Residential Mortgage.

3. Always check the fees!

Many lenders will present appealing ‘low rate’ deals. These deals can often include significant fees to protect the lenders from losing money. Depending on the size of your mortgage it can often be worth paying a larger initial fee to secure a lower interest rate. You must take into account both the fees and the interest rate, as this is the true cost of the mortgage. We know that the majority of us will be looking to remortgage at the end of this term to secure the best rate available at that time.

4. Take independent advice

Do you want to keep your interest rate to a minimum, or is the lowest fee possible essential to you? When you consider a mortgage, it is one of the biggest financial commitments you can make and therefore definitely an area where you should shop around. An impartial mortgage broker can offer expertise, experience, and crucially more lending options than your typical high street bank.

5. Don't leave it too late

If you are on a fixed-term deal it is vital that you secure a new mortgage before your current one comes to an end. Otherwise, you may find yourself moved to the standard variable interest rate which could cost you significantly more money. We advise you to start weighing up your remortgage options six months before your deal is due to expire.

Our team has extensive experience and is on hand to answer any questions you might have. Contact us today.