There are several reasons why you may wish to remortgage, perhaps your fixed rate is coming to an end, you may wish to make some home improvements or consolidate debt. Our handy guide will talk you through how remortgaging works.
What is it?
It is a new mortgage on a property you currently own. It can be with your current lender or with a new one.
Reasons to remortgage
You can potentially get a better deal and lower monthly repayments.
You may wish to keep your monthly repayments locked down for another few years.
You have enjoyed the stability of fixed repayments, but when your fixed rate is ending, you wish to remortgage for another fixed rate.
Remortgaging can be used to borrow money for home improvements, debt consolidation or anything else you may need funds for.
Can I remortgage?
Firstly, you must own your property, whether with an existing mortgage or outright. Then lenders will want to know that you can afford the repayments of the new mortgage and that you have enough working years left to pay it off.
They will also calculate your LTV ratio or Loan to Value. This is how much you would need to borrow to pay off your current mortgage, compared to the value of the property. If your loan to value is 95% or higher, then you are unlikely to be eligible.
How does it work?
We will look at different deals from lenders, making sure that we find you a great deal. We’ll ask you questions about you and the property that you wish to remortgage. This is so we can find out what best suits you. This will cover your job, income and outgoings, family and plans for the future.
Once this is done and you satisfy the lending criteria, we will be able to find you a mortgage in principle, this tells you what you can borrow in theory. Following this, we’ll take you through the application, preparing the necessary documents and then submitting to the lender.
Once the lender carries out their checks (runs a credit check, makes sure the property is worth the value of the mortgage and assesses what you can afford), they will make their decision.
Once you’re approved, you will receive a mortgage offer. When you accept the offer, you can then instruct your solicitor to complete it.
This is when the new mortgage starts. If you have remortgaged to borrow additional money, the funds will be transferred to you.
How long does it take?
It’s a faster process than getting a mortgage the first time around. Though every case is different, it takes between four and eight weeks to remortgage.
When can I do it?
You can remortgage anytime you like, but there are things you may wish to consider before you do.
If you’re currently on a fixed-rate mortgage, you may have to pay a penalty to leave it. If you wait until the fixed-rate period ends, you will avoid having to make an early repayment charge. Having said that, if you can save more by switching than the cost of early repayment, it may still be worthwhile.
If you remortgage before you have paid much off, this can cause issues because your loan to value may be too high for most lenders.
What are the costs?
There are different costs when it comes to remortgaging and again before you make the decision, you may wish to consider these.
Exit fees – you can be charged between £75 and £300 to close your account by your lender if you remortgage with a new one.
Arrangement fees – also known as a completion fee, this changes depending on the lender and depends on the mortgage size.
Valuation fees – if you remortgage with a different lender, then you may have to pay to have the property valued. Some deals waive the fee, but the cost could between £150 and £1500, dependent on the property’s value.
Legal fees – there are potential legal fees, such as the cost for transfer of equity.
The different types of mortgage
You will have a choice of different mortgages:
Fixed-rate mortgage – the monthly repayments stay the same for a set number of years.
Variable-rate mortgage – the lender can change the rate from one month to another, dependent on economic changes.
Tracker mortgage – these follow the Bank of England’s Base Rate and the rate is set a percentage above or below.
Capped rate mortgage – these work the same as a variable rate mortgage, but they have a cap on how high the rate can rise.
Discounted mortgage – these offer a discount on the lender’s SVR.
Offset mortgage – these offset your savings against your mortgage balance to reduce the amount you pay in interest.
I’m self-employed, can I re-mortgage?
Yes, if you’re self-employed, you can re-mortgage. You’ll need to be able to provide evidence of your income for the previous two or three years. This can be in the form of your business accounts or your tax returns.
Contact us
For quick and personalised advice you can trust.
Improve your chance of remortgaging
By consulting reputable mortgage brokers, such as our advisors at Orchard Mortgage Solutions, we will search for the best-specialised remortgaging deals so that you can find the solution best suited to you.
DO YOU HAVE THE RIGHT INSURANCE COVER?
Quality insurance is important for anyone with a home of their own, or who is currently in the process of buying one. At Orchard Mortgage Solutions, we’ll help you secure the best insurance for you and your home.
Buildings & Contents Insurance
Make sure that your building and belongings are protected from damage.Read More »
Life Insurance
Have peace of mind that your loved ones will be well-taken care of in your absence.Read More »
Critical Illness Cover
Plan for the unexpected to support you or a loved one in case of a severe injury or illness. Read More »
Privacy settings
This website stores cookies on your computer. These cookies are used to improve our website and provide more personalized services to you, both on this website and through other media. To find out more about the cookies we use, see our Cookie Policy.
We recently completed a remortgage in a matter of weeks (much quicker than expected) through Orchard Mortgage Solutions and I would not hesitate to recommend the company. Andrew… More kept in touch throughout the various stages and also guided us when getting affairs in order and gathering documents together to ensure a quick and positive outcome. We could have gone with a different broker who would have charged a lower fee but, from the outset, Andrew's advice and communication - without ever being 'pushy' - convinced us that our interests were best served by him. I would certainly use the company again if needed in future.
My wife and I have consulted Andrew at Orchard Mortgage Solutions when our existing mortgage offer was about to end.Communications between us has been excellent. We have received… More updates throughout the process and highly recommend Andrew and company unreservedly. We would like to use this review to offer our sincere thanks for all the excellent guidance and advice.Catherine and Dr David Sands
We recently completed a remortgage within 4 weeks with Orchard Mortgage Solutions. The service provided was exceptional and communication was top-notch, Andrew kept us informed… More every step of the way. The team at Orchard Mortgage Solutions were professional and efficient and made the entire remortgage process seamless and stress-free. We felt well taken care of during the entire transaction and we were impressed by their dedication to customer satisfaction.We cannot say enough good things about this company and will be using them for any future mortgage needs.Thank you, Orchard Mortgage Solutions, for a job well done!
I recently had the pleasure of working with Orchard Mortgage Solutions, specifically with Andrew, to secure a mortgage as a first-time buyer. I cannot express enough how grateful… More I am for the exceptional service and support I received throughout the entire process. One aspect that truly impressed me was the time and effort Andrew spent explaining complex mortgage information in plain English. As a first-time buyer, I had many questions and concerns, and Andrew patiently walked me through each step, ensuring I fully understood the details. His ability to simplify complex concepts made me feel confident and empowered in making informed decisions.The communication from Orchard Mortgage Solutions was top-notch. The team were always prompt in responding to my inquiries, providing updates, and keeping me informed of any progress or changes. Their clear and concise communication style made the entire process smooth and stress-free. What sets Orchard Mortgage Solutions apart is their friendly and personable service. Andrew's approachability and willingness to go the extra mile made me feel valued as a customer. He took the time to understand my unique needs and provided solutions that aligned perfectly with my requirements.I cannot recommend Orchard Mortgage Solutions enough, especially for first-time buyers. Their dedication to providing exceptional service, combined with Andrew's expertise and friendly demeanour, made the mortgage process a positive and enjoyable experience.
We use Orchard to re-mortgage and found them extremely helpful very knowledgeable. Andrew was always available when needed. But definitely use them again
Andrew was extremely knowledgeable and helpful throughout the whole process. He offered great insight and his advice was exceptional. Fantastic service, would highly recommend.… More
I can not understate the excellence of this company . Amazing service and Andrew in particular went way above and beyond the call of duty . Helped me thru one of the trickiest… More , hardest ,most complex and frustrating situations / applications ever . 10 out of 10 , 5 star and brilliant all round company .Thank you so much !
Andrew demonstrated brilliance from start to finish, leaving no stone unturned with his exceptionally detailed service. I cannot thank him and his team enough.
I recently had the pleasure of working with Orchard Mortgage Solutions, and I must say that my experience was nothing short of exceptional. From start to finish, the team, led… More by Andrew Stewart, demonstrated a level of professionalism and expertise that exceeded my expectations.One aspect that truly stood out was the speed at which Orchard Mortgage Solutions operated. They were incredibly efficient in processing my mortgage application, ensuring that everything was handled promptly and accurately. This allowed me to move forward with my plans without any unnecessary delays.The service levels provided by Orchard Mortgage Solutions were truly outstanding. The team was attentive, responsive. Their commitment to delivering a seamless and stress-free experience was evident in every interaction. I highly recommend contacting to Orchard Mortgage Solutions.
I have been delighted with the service that I have received through using Orchard Mortgage Solutions. I have had the pleasure of working with Andrew who has been extremely supportive… More and patient throughout the process. I would recommend this company without hesitation. Thank you once again.
What an amazing company. We have been struggling to get a mortgage for a few years now. But Orchard mortgage solution didn’t give up on us and secured us a mortgage. Which has… More helped us so much.They are very professional, the communication we received was Brillant and I would recommend this company to anyone who is looking for a mortgage.
I recently had a fab experience with Andrew and the Team at Orchard Mortgage Solutions! They helped me to secure a mortgage for my new home, which wasn't an easy task!Throughout… More the entire process, they were patient (with my many questions!), helpful, friendly and the level of customer service was fantastic with a very quick response time!They even took advantage of the lengthy time it took our solicitors to complete by reapplying for the mortgage when the rates dropped!Overall, I highly recommend Orchard Mortgage Solutions to anyone in search of a mortgage!
Remortgaging is never an easy process, especially at this point in time with interest rates so variable. The different options are overwhelming - not so once Orchard got to work.The… More options we were presented with far exceeded the ones our own searches had identified. Add on top the need to unlock money for home renovations and it could easily have become an even more arduous process - Andrew’s advice on this was priceless!Thanks to their clear communication and ease of doing business, we’ve switched lenders and are getting on with life. We’d strongly suggest you do the same.
I recently had the pleasure of working with Orchard Mortgage Solutions and from the very beginning, Andrew was patient, understanding and so helpful in explaining everything to… More me. Nothing was too much trouble. Throughout the entire mortgage process, Orchard provided updates, and explained each step in a simple and easy-to-understand manner. I would highly recommend.
As first time buyers Andrew has been priceless for me and my partner. We knew very little about the whole process to begin with but Andrew explained everything and we never once… More felt like we didn't understand anything. We have heard how stressful buying your first house can be however we believe because we had Andrew this stress was very little and at no point did we feel overwhelmed with the process.Andrew made himself available to talk us through any questions or queries we had and his advice was always comforting during the process.I would absolutely recommend Andrew to anybody, we are very grateful for how much he helped us.
Me and my Partner needed help with fixing our mortgage rates, adding a new name to the house and also life insurance for us both. Overall we were dealt with promptly, we felt understood… More in our needs and then everything was explained thoroughly to us about what our options were going forward. Throughout the whole process if we had any questions at all we had an instant response. Very good service.
Excellent knowledge and information provision. So attentive towards applications and progress of applications. Andrew even switched our product hours before completion in order… More to secure a better rate. This service is essential. It made our lives easier and Andrew took our stresses away.
I can heartily recommend Orchard Financial Solutions. Andrew and his team offer the kind of service that, I can only imagine, is normally reserved for VIPs. We approached Andrew… More as a result of a recommendation and it's one of the best decisions we've ever made. Quite apart from knowing his job inside out, Andrew's client service levels are high. Our experience has been nothing but good. At a time when interest rates are volatile, Andrew's counsel has enabled us to ride out the storm and gain a mortgage offer. It might sound like a small problem, but it's a big deal for us and, while I want to keep Orchard Financial Solutions my secret, I feel compelled to write this as I hope others will benefit as we have. Our experience couldn't be more different than the 'computer says no' attitude of many traditional financial services providers. Andrew really works the job through to completion and is at the end of the phone every step of the way.
Our experience with Orchard Mortgage has simply been above and beyond. From the beginning we felt like we were getting the best knowledge, advice and consideration to our varying… More needs. Right to the end when dealing with difficult legal firms, our broker Andrew Stewart and his team, have shown real tenacity to get the deal done. Would absolutely recommend and feel we have trusted financial services for life.
Andrew has been very efficient and helpful to get us a buy to let mortgage at a moment where the offers were disappearing from the market, following the mini budget crisis. His… More explanations were clear and informative. We would definitely recommend Orchard Mortgage Solutions.
Orchard were brilliant, Andrew was very knowledgeable and friendly. He kept me informed every step of the way and nothing was too much trouble. Excellent service I would highly… More recommend to anyone, thanks again Andrew for all your help.
Andrew at Orchard provided us with great mortgage advice. He took the time to really understand our situation and laid out our options in a clear and straightforward way. He kept… More in touch on a regular basis and made the whole process feel totally hassle free. I can't recommend him and Orchard highly enough.
I called Orchard to explore my options as a business with regards to funding. Whilst we decided that now was not the time to be do this, I was impressed with Andrew's professionalism,… More empathy and ability to understand the issues we were having. I would highly recommend him if you're looking to speak to anyone regarding bringing in additional finance.
Amazing service. These guys know the market inside out, communicate effectively and make the whole process so simple! Would always recommend them to anyone and everyone.
