Compare remortgage deals
- Compare rates from across the market to find the right remortgage deal for you
What does remortgaging mean?
Remortgaging is the process of switching your existing mortgage to a new deal, using the same property as security. You can remortgage with the same lender or a different provider.
Remortgaging could save you a significant amount of money over the course of your loan by lowering your monthly payments or enabling you to repay your mortgage sooner.
Use our remortgage calculator to see how much money you could save on your monthly repayments.
Why remortgage?
There’s a variety of reasons why you might want to remortgage your home, for example to:
- Move to a new deal: your current deal could be coming to an end – most fixed-rate mortgage deals last between two and five years. Once your current deal expires, you’ll be put on your lender’s Standard Variable Rate (SVR), which is likely to be higher. By remortgaging, you could find a lower interest rate.
- Benefit from a lower LTV: if your property has increased in value, a lower LTV (loan-to-value) might help you secure a better rate of interest when you remortgage. LTV is the percentage you borrow against your home. The more equity you have in your property (the part you own), the lower your LTV will be. This means you’ll have a better chance of securing a cheaper mortgage deal.
- Find a more competitive deal: if you’re on a variable deal like a tracker mortgage, the interest rate you pay will go up or down in line with the Bank of England base rate. If the base rate increases, your mortgage repayments will go up. By remortgaging, you might be able to find a more competitive deal.
- Pay off your mortgage sooner: you want to start overpaying your mortgage, but your current lender won’t let you. In this case, you might want to remortgage with a more flexible provider that won’t penalise you for overpaying.
- Release equity: you could potentially free up cash to pay for an extension to your home, for example.
- Offset your savings: if you’ve built up a fair amount in savings, or you’ve had a cash windfall, remortgaging to an offset mortgage would enable you to use your savings to reduce the amount of interest you pay on your mortgage.
- To consolidate debt: you might want to consolidate debts to reduce your monthly outgoings or to borrow at a lower interest rate.
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You’ve had poor service from your mortgage provider: you may want to change to one with a better reputation for customer service and satisfaction.
How do I remortgage?
Here’s how the remortgaging process works:
- Apply for the mortgage: if you’re applying to a new lender, you’ll typically need to supply proof of identification, payslips and bank statements. If you stay with your current lender, you might not need to provide all this information again.
- Assessment: your potential lender will check that you can afford the mortgage, taking into account your income and expenditure. They’ll also check your credit rating and carry out a valuation of your property.
- Mortgage offer and completion: once the lender is confident, they’ll make you a mortgage offer. When you accept the offer, your conveyancer will complete the necessary legal paperwork and arrange completion. The money will then be paid to your previous mortgage provider. If you’re borrowing extra, this will be paid to you on completion.
What fees will I have to pay to remortgage?
When you remortgage your home, there’s often an arrangement fee on the new mortgage. You may also need to pay:
- Valuation fees and solicitor fees (although some lenders may offer this for free as part of the remortgage deal)
- An administration charge
- A fee for finding a new mortgage if you use a broker. Our partner broker London & Country Mortgages Ltd (L&C)** doesn’t charge a fee
- An early repayment charge if your existing mortgage hasn’t yet come to the end of its term.
| It’s important to consider these fees when working out whether you’ll save money overall by remortgaging. |
When should I remortgage?
The best time to start looking at remortgage deals is around three to six months before your current deal is due to end.
This gives you time to look around for a cheaper deal and get organised. That way you’ll avoid being moved to your lender’s SVR and paying more interest than you need to.
Use our remortgage calculator to find out how much you could save by remortgaging.
How can I find the best remortgage deal?
Here’s how to help improve your chances of getting a better remortgage deal:
- Improve your credit rating – lenders tend to reserve their best advertised rates for customers with the highest credit scores.
- Reduce your loan-to-value – if you can borrow less your LTV percentage will be lower, so the interest rate you’re offered may be lower too.
- Lock in early – some lenders will agree to a deal in advance, so you could secure the rate and avoid being hit by any price hikes in the meantime.
- Compare deals – shop around and compare different deals from a range of lenders. This gives you more choice and a better chance of finding a rate you’re happy with.
What our expert says...
Should I switch my mortgage rate if I can find a cheaper deal?
“When the Bank of England lowered interest rates to 4.75% in November 2024, governor Andrew Bailey said it was “likely that interest rates will continue to fall gradually from here”. This is good news for mortgage owners overall, but could make the decision to switch mortgages complicated.
If you switch to a fixed-rate and interest rates continue falling, you’d likely regret it. This could make a variable rate or tracker mortgage more attractive.
It depends on what you value. A fixed-rate mortgage offers certainty. You know what you’ll pay each month and are protected from price hikes. If you’re only interested in the cheapest price, the Bank of England’s hint at lowering interest rates further may be tempting. However, we can’t predict if or when this will happen.
Ultimately, the choice is yours. To explore your options, compare mortgages with Compare the Market.”
- The Editorial Team, Experts in personal finance, insurance and utilities
Why use Compare the Market?
Free impartial mortgage advice from our specialist partners London & Country**
Check your eligibility and see pre-approved options that suit your needs
Frequently asked questions
How does the loan to value (LTV) rate of my property affect remortgaging?
Loan to value is the ratio between the value of your mortgage and the value of your property. Having a lower LTV rate could take you into a mortgage tier with a lower interest rate. The best rates are often reserved for LTVs under 75%.
But if you’re remortgaging to raise money, your LTV might stay the same or even rise, depending on how much you’re borrowing.
Can I get a new mortgage with a different lender?
Yes, you can get a new mortgage with a different lender. But you may have to pay penalties if you’re still on your initial deal. If your deal is ending or has ended, there aren’t usually any penalties to pay.
What information will I need to remortgage?
The documentation you’ll need to remortgage typically includes:
- Bank statements and payslips for the past three to six months
- If you’re self-employed, accounts/tax returns for the previous two or three years
- P60 tax form from your employer, showing your income and the tax you’ve paid in each tax year
- SA302 tax return, if you’re self-employed or have more than one source of income
- A form of ID, like your passport or driving licence
- Proof of your address, such as utility or council tax bills.
How much can I borrow with a remortgage?
If you’re coming to the end of your current deal and you want to move to a better interest rate, you’ll likely want to remortgage for the amount that you still owe on your current mortgage.
But if you’re looking to release equity, you’ll probably need to borrow more and take out a bigger mortgage.
In both cases, the amount you’ll be able to borrow depends on your situation and how much your new lender is prepared to let you borrow.
Is there an age limit for remortgaging?
Different providers have different age limits, so you’ll need to check this with any provider that you’re considering. Some may have a maximum age for starting a mortgage, while others have a maximum age for when the mortgage term ends.
