Not sure whether to remortgage? Here are five reasons why it could be a good idea for you to find a new mortgage deal:
1) Your current deal is about to end
This means you’re likely to slip on to your lender's Standard Variable Rate which could be much more expensive for you.
2) The value of your home has increased
You could get a better deal if you have a lower loan to value (LTV) on your property.
3) You want a better rate or are worried about rising interest rates
Things are uncertain right now and it's possible that interest rates could rise in the future. At the moment they're very low so it could make sense to snap up a lower rate and save on interest in the long run. You'll want to check if you have an early repayment charge on your current deal, but even then it may still work out cheaper to switch.
4) You want overpayment flexibility but your lender isn’t flexible
Overpaying your mortgage is a good idea if you can. Most lenders will allow some overpayments but if you want more flexibility you’ll need to find a deal that allows this.
5) You want to borrow more
Fancy knocking through that wall to make an open plan kitchen? Or maybe that avocado bath set has seen better days? Remortgaging may allow you to borrow enough to fund home improvements, which could add value to your home.
So should you remortgage?
While there are good reasons to find a new mortgage deal, it really depends on your situation and circumstances. At L&C we'll help you work out whether it's the right move for you, and if it is, we'll do the leg work and it won't cost you a penny.
5 reasons to remortgage