Remortgages what is it!

Bristol and Bath Financial Services can help you remortgage your home to the right deal

Remortgages Explained

A remortgage is when you change or remain with your mortgage lender without moving home. The reason you would remortgage is to either raise more money i.e. remortgage with debt consolidation or to secure a better rate of interest.
Whatever your reason for remortgaging, Bristol and Bath Financial Services can help you to secure the right mortgage deal what ever your situation. We are an independent broker which means we have access to the whole of the market and can find you the right remortgage deals for you. Remortgaging doesn’t have to cost anything either… If you wish to remortgage we can usually secure mortgage deals with the mortgage lender meeting the cost of the property valuation and paying the solicitors costs.

Remortgage rates vary from lender to lender and can start very low but can also be higher than normal depening on your circumstances.
The type of rate that is recommend depends on a number of factors but will also depend on your attitude to risk and your future mortgage plans. Bristol and Bath Financial services will search all the best remortgage deals and once all the facts are captured we will discuss the various remortgage rates, this inclludes:

  • Fixed Rate Remortgage: The rate of intertest is fixed for a certain period. The terms lenders will offer vary from 2, 3 and 5 years with some lenders offering 10 year fixed rates.
  • Tracker Rate Remortgage: A tracker rate remortgage will track either the Bank of England base rate (BBR) or the London Inter Bank Offering Rate (LIBOR). A rate that tracks one of these rates may go up as well as down, so ensure you have flexibility within your budget.
  • Discounted Remortgage: A discounted mortgage will be a discount from the lenders variable rate for set period. After the discount, the rate will usually revert to the lenders variable rate.
  • Cashback Remortgage: Alot of lenders now offer incentives on remortgages to attract business. A cash back mortgage is one of those incentives and can be used for various factors, mainly the cashback is used to pay for your own solicitor (your mortgage broker can also recommend a solicitor). The age of 'free legals' on a remortgage is diminishing and this is why more and more lenders are now offering cashback remortgages. Your mortgage broker will work out the true cost of the cashback by also considering the interest you will pay over a set period and any fees you will pay.
  • Flexible Remortgages: Flexible remortgages usually come with no early repayment charges and allow you to make lump sum payments into the mortgage without penalty. Some remortgage lenders will also allow payment holidays or for you

The main goal of remortgaging is to save money on your monthly mortgage payments, it is estimated that more than a third (36%) are currently on the lenders standard variable rate according to L&C. The stats went on to say in some cases individuals saved £216 per month by remortgaging. We would really encourage you to speak to a mortgage broker if you are one of the thousands of customers on the lenders standard variable rate, in some cases the lenders standard variable could be as more as 2% higher.
If you are worried about remortgaging then don't, the process is easy and can be swiftly done by your mortgage broker.

  • Access to 1,000's of deals, some exclusive to mortgage brokers
  • Professional mortgage advice from qualified advisers
  • Understanding of the market, mortgage broker will know lenders criteria and where to submit mortgage applications for approval
  • Mortgage brokers will do all the leg work and chasing

Think poor credit stops you from being able to secure a remortgage? Think again!
According to research by Which?, there are 1,600 mortgage deals available in 2019 for those with bad credit, be that county court judgements, missed payments or even bankruptcy. We are always happy to discuss adverse credit remortgages, and give honest and open advice on what options are available in your circumstances. You can read more on various pages here

Usually when you buy a home using Help to Buy, you pay a 5% deposit and take out an equity loan from the government of up to 20% of the property’s value. You will then get a mortgage for the remaining 75% from a help to buy lender. Traditionally help to buy mortgages are fixed rates, but what do you do after the fix rate is over. Can you remortgage a help to buy product?
The answer is yes, however, many remortgage lenders require the 20% loan to be repaid. Some lenders will allow you to remortgage and keep the help to buy loan with the goverment, but, if this is not viable then speak to a mortgage broker who can help you remortgage and find the right deal for you.