Whether you want to remortgage to equity release or your circumstances have changed (e.g. a job change or marriage), there’s lots of reasons why remortgaging might be right for you. If your fixed-rate period has come to an end, you may also get a better deal by switching rather than staying with your lender’s SVR.

Remortgaging involves transferring your existing mortgage to a new lender and taking out a new mortgage deal, rather than staying with your current lender. Essentially, this means getting a new mortgage on your current property.

It’s important to shop around for the best remortgage deals, as once you’ve made the switch you’ll have a new lender, which could mean different interest rates and payment terms.

Yes, a property valuation is generally needed when you’re remortgaging as lenders will require this step to assess the property’s value and calculate the loan to value (LTV) ratio. This helps to determine the terms of your new mortgage.

Loan-to-value is a ratio representing the amount of a mortgage compared to the value of the property being purchased. LTV is one of the most crucial factors for lenders when reviewing mortgage applications, as higher loan value can mean higher interest rates and a lower loan value indicates a lower risk of default.

A lower LTV ratio can make it easier for you to remortgage. If you want to improve your loan-to-value ratio, there are a few things you can do to help. If you’re currently a homeowner, you can consider making extra payments towards your mortgage. This helps to reduce the outstanding amount you owe faster - gradually lowering your LTV over time. 

However, overpayment isn’t right for everyone, and you may prefer to build on your savings instead. Visit our mortgage support hub for more information on saving vs overpaying on your mortgage.

The answer is yes. If you're looking to generate additional monthly income, investing in a buy-to-let property could be something to consider.

If you don’t have enough savings for a deposit or to purchase outright, a buy to let remortgage may offer a solution. By remortgaging your current home, you could unlock the funds needed to invest in a rental property.

Before making any decisions, it’s important to assess your financial situation and make sure you’re confident in your ability to keep up with the repayments as two mortgages can be quite financially demanding.

The best remortgage for you will depend on factors such as your income and your LTV.

Lenders often reserve the most competitive deals for borrowers with strong credit scores and stable or high disposable incomes. To boost your chance of securing a better rate, consider paying off any existing debts and improving your credit score. It’s also important to make a remortgage comparison to see which suits your situation best, whether that’s fixed, tracker or variable.

Understand the steps to remortgaging:

• Do your research. Take the time to compare products and consider factors like interest rates, fees, flexibility, and overall terms to find a deal that suits your financial goals.
• Submit your application. Once you’ve found the right mortgage and sent an application, your lender will ask for details about your financial situation, including your income, employment status, and credit history.
• Property valuation. Your lender will next arrange a valuation of your home, to help determine how much they are willing to lend.
• Legalities. Similar to when you first purchased your home, a solicitor will handle the legal side of things. They’ll manage the transfer of the mortgage for you and make sure all the paperwork is correct.
• Be aware of ERCs. If you’re remortgaging before the end of your current deal, you might face early repayment charges (ERCs). Always check the terms of your current deal.
• Completion. Once everything is approved and signed, your new lender will pay off your existing mortgage. From that point on, you’ll start making payments to your new lender under your new terms.