Remortgaging is when you replace your current mortgage deal with another. This can be as simple as changing the terms of your existing mortgage with your current lender (which lenders sometimes offer at the expiry of your current fixed interest period) or it can mean changing lenders all together.
The reasons that people tend to remortgage are varied, but common reasons are:
- A lender is offering a better deal;
- You have experienced a change of circumstances (such as a divorce or a bereavement); or
- You would like to release equity in the property
Very often, when you are remortgaging to the same lender, there are very few formalities and some lenders will give you a new deal without the involvement of a solicitor.
If you are switching lenders, the requirements are likely to be more stringent and the process will in many ways feel similar to when you first purchased the property. For example, the lender will require a valuation, searches and will expect your solicitor to undertake adequate due diligence on the property to ensure its suitability as security for their loan.
Early Repayment Charges – Avoid the Trap!
If you are thinking of re-mortgaging do watch out for the “Early Repayment Charge” trap. It is extremely common for your existing lender to charge a considerable fee if you leave your mortgage before the expiry of the initial fixed-interest period. You should check your existing Mortgage Offer to ensure that you will not be caught by the early repayment charge and if you will, think very carefully about whether a remortgage is the right thing for you. If your reason for remortgages is to release equity, there may be other financial products available to you (such as Second Charge Mortgages) that may be more suitable. Though you should always the advice of a properly qualified financial adviser before making your decision.
No matter what your motivation is for remortgaging, it is important that you have the right solicitor in your corner.
Why choose Attwells...
For Our Speed and Diligence: In a competitive market the speed and diligence of your lawyer is key. With Attwells, you can rest assured that no matter what the transaction entails, your lawyers will be proactive in pushing your matter forward to an efficient and satisfactory conclusion.
For Our Competitive Fixed Fees: Attwells offer competitive fixed fees on all of our Property Finance services, so that from day one, you will know how much your legal costs will affect your bottom line. This is all part of our commitment to transparent and fair pricing
For Our Proactive Communication: Is there anything more frustrating than not knowing the status of your matter? Or worse still, not being able to get in contact with your lawyer for an answer? At Attwells we understand that communication with the client is critical, which is why we will give you regular updates without being prompted. You will always be given the direct line to your lawyer, so you can spend your day on what you want, rather than waiting on hold.
We use cutting edge Case Management Software to ensure that staff absences (either through holiday or unplanned) are always covered by colleagues within the department, so you can be sure that your matter will not be delayed by matters outside of your control.
For Our Expertise: We have completed hundreds of Second Charge Mortgages over the years so we can say with some confidence that your matter is unlikely to be anything we haven’t seen and dealt with many, many times before.