What is involved in a Remortgage

A remortgage is not unlike a standard mortgage but rather than purchasing a new property you use the facility to move your mortgage debt from one lender to another.

It may be that you wish to reduce the monthly cost of your loan and are looking for a more competitive interest rate. Alternatively you may wish to borrow additional money against the security in the property and wish to take advantage of the terms and rates offered by a different lender.

Whatever your situation we can help.

Remortgaging is a straightforward process and one which has become more streamlined in recent years.

Lenders are keen to capitalise on the consumers demand to minimise the cost of their borrowings and often offer the facility to consolidate other debts to reduce monthly outgoings. Whilst there is a clear short term benefit to doing this it is however important to seek professional advice when taking advantage of this facility this as the costs could be more in the long term.

The increased popularity in remortgaging has in part been due to the substantial increase in property values over recent years. Many homeowners make the decision to release some of the equity they have built up in their property to carry out home improvements, finance major expenses or, as highlighted earlier, pay off debts.

A remortgage is also an opportunity to review the type of mortgage you have.

Peoples situations change and with it so too do their requirements from mortgage.

An adviser from DMA will ensure that the product and repayment method recommended best suit your needs today, but also take into account any foreseeable changes in the future.

So what is involved?

As with any mortgage the lender will instruct a valuer to ensure that there is sufficient security in the property to cover the amount you wish to borrow. In some cases there is no charge for this valuation.

There is some conveyancing work to be done by the solicitor, but it less than for a house purchase. Lenders will often make a contribution towards the costs involved or even refund the full amount on completion.

Having completed a full application for the lender the process usually takes around four to six weeks depending on the complexity of the application.

The DMA adviser will contact you at regular intervals for a review.

It is quite possible that the remortgage process could be repeated again in the future to enable you to continually benefit from the most competitive mortgage deals on the market.

Adding existing debts to your mortgage may both extend the repayment term and increase the overall cost of the debt.

As we have access to a large panel of lenders, our aim will be to arrange you a suitable loan with a lower interest rate than your current mortgage.

Solicitors and Conveyancing are not regulated by the Financial Services Authority.