Remortgage
The most expensive thing you can do is nothing.
When a fixed rate ends, your lender moves you onto its standard variable rate automatically. It is almost always the worst rate that lender offers, and thousands of people pay it every month simply because a letter got filed. Start six months out and you never will.
The timeline that saves the money
Six months out is not early. It is on time.
Most lenders let you reserve a new rate up to six months before your current deal ends. You lock in today's pricing, and if rates fall before completion you can usually switch to the better one. It is a free option, and almost nobody takes it.
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Six months before your deal ends
We pull the whole market plus your existing lender's own retention offers, and reserve the best available. Nothing is committed and nothing is lost if you change your mind.
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Three months before
We check whether the market has moved. If a better rate has appeared, we swap the reservation. Your paperwork gets submitted so the offer is issued in good time.
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One month before
The solicitor work on a remortgage is light and is often free through the lender. Everything is in place for the switch to happen the day your old rate expires.
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The day your fix ends
The new rate starts. You never touch the standard variable rate, not even for one month.
Product transfer or full remortgage?
A product transfer means staying with your current lender on a new rate. A remortgage means moving the loan to a different lender. Both are worth having on the table.
| Product transfer | Full remortgage | |
|---|---|---|
| Affordability re-checked | Usually not | Yes, in full |
| Legal work | None | Light, often free through the lender |
| Valuation | Not usually needed | Yes, often free |
| Speed | Days | Three to six weeks |
| Rate available | Only that lender's | The whole market |
| Can you borrow more | Sometimes, with a fresh assessment | Yes |
| Best when | Income has dropped, credit has slipped, or you want it simple and fast | You want the best rate available, or you need to raise money |
A point worth knowing
If your circumstances have got worse since you took the mortgage out - a drop in income, a period of self-employment, a missed payment - a product transfer can be a lifeline, because most lenders do not re-run affordability on their own existing borrowers. We will always check what your own lender will quietly do for you before assuming the answer is to move.
Your loan to value has probably improved
Two things have been working for you since you bought: you have been repaying capital, and the property may have gained value. Both push your loan to value down, and rate tiers are priced in bands. Someone who bought at 90% five years ago is often sitting at 75% or better without realising it - which is a materially different rate tier.
If you think you are close to a band, it is worth challenging the lender's automated valuation. We do this regularly, and a successful challenge that moves you from 81% to 79% can be worth more than everything else in the review put together.
Raising money against the house
A remortgage can release equity as cash. Common and sensible reasons: a genuine home improvement that adds value, a deposit for a buy to let, funding a business you have properly planned, or replacing a much more expensive short-term debt.
Before you consolidate debts
Moving a credit card or a loan onto your mortgage lowers the monthly payment, and that feels like winning. It usually is not. You are converting an unsecured debt over three years into a secured debt over twenty-five, and the total interest is frequently far higher even at a lower rate. More importantly, that debt is now secured on your home. Think carefully before securing other debts against your home. We will show you the total cost both ways and tell you plainly if we think it is a bad idea.
Common questions
Remortgage questions
What does an early repayment charge actually cost?
Typically 1% to 5% of the outstanding balance, usually falling by a percentage point for each year remaining on the deal. On a £200,000 balance, 3% is £6,000 - real money. It is only worth paying if the saving on a better rate over the remaining term clearly exceeds it. Sometimes it obviously does. We do the arithmetic rather than guessing.
Two-year or five-year fix?
It is a question about your life more than about interest rates. Five years buys certainty and usually a slightly better rate, but it locks you in - and if you might move, need to borrow more, or expect your loan to value to improve sharply, that lock has a cost. Two years costs a little more and keeps you flexible. The full guide walks through how to choose.
Can I remortgage if I have started working for myself?
Yes, though the lender panel narrows. Some want two years of accounts, some accept one, and a product transfer with your existing lender often avoids the income assessment entirely. If you went self-employed recently and your fix is ending, talk to us before you do anything - the order you do things in matters a lot here.
Does remortgaging hurt my credit score?
A single full application leaves one hard search, which has a small and short-lived effect. What damages a file is several applications in quick succession. A product transfer with your existing lender usually leaves no hard search at all.
Can I shorten the term while I am at it?
Yes, and it is one of the most underrated moves available. Cutting the term raises the monthly payment but slashes the total interest. If your income has risen since you bought, remortgaging onto a shorter term instead of pocketing the saving can take years off the mortgage. The overpayment calculator shows the same effect if you would rather keep flexibility.
Start here
Send us four numbers and we will do the rest.
Your lender, your rate, your balance and your end date. That is enough for us to tell you what you should be paying and what it would cost to get there.
- The first conversation is free
- No credit check, no hard search
- A reply within one working day
Prefer to talk now? Call 0333 339 7301 or email [email protected].