Helping with all Aspects of Remortgaging
As circumstances change, people often need to update their financial arrangements. If you are a homeowner who needs to pay for home improvements or any other expense, releasing equity from your property can be an ideal way of achieving this. The residential conveyancing team at Fraser Dawbarns have the experience and the knowledge to help you, providing clear and concise advice at every stage of the remortgaging process.
There are many reasons for remortgaging, you may be considering remortgaging to release equity, you could be looking to switch lenders for an improved rate or maybe you are going through a change of circumstances such as a divorce. Regardless of your reasons, you will benefit from a highly personalised service and clear jargon-free advice.
Fraser Dawbarns have offices across East Cambridgeshire and West Norfolk, so are close by if you need to meet face to face to discuss an urgent issue or resolve an unforeseen problem.
What is Remortgaging?
In simple terms, remortgaging is changing your current mortgage deal for another. You may be moving to another lender or you could be staying with your existing lender and switching to a different deal. Whether you are staying with your current provider or moving lenders, remortgaging can, at times, be a confusing process. By choosing Fraser Dawbarns to help you through the process, you will have an experienced and friendly team on your side to help you from start to finish.
Remortgaging for a cheaper rate
The most popular reason for remortgaging is to switch your mortgage rate for a cheaper deal. Many mortgage deals have a fixed interest rate for a set period after which your mortgage moves to a variable rate (known as a Standard Variable Rate or SVR). This can lead to an increase in your repayment rate and it is a good idea to negotiate a new mortgage rate, to keep your repayment rate as low as you can.
Remortgaging due to changes in circumstance
There are many reasons why a change in circumstances may cause you to consider remortgaging. You may have had a pay rise or a windfall and would like to increase your repayment rate. Alternatively, you may have suffered a bereavement, been through a divorce or got married, and need your mortgage to reflect your current situation. More information about adding or removing people from your mortgage can be found on our Transferring Ownership page.
It is sensible to remortgage every few years so that you can be sure that you are on the best deal. You can often improve on your existing deal and stay with the same lender, but sometimes, you can get an even better deal by switching to a new mortgage provider. Be aware that by switching lenders, there may be extra fees, so this needs to be considered when looking at the overall deal you are getting. If you have found a better mortgage deal with a different lender, you will need a legal professional to handle the legal side of the remortgaging process.
Remortgaging and Equity Release
Over time, properties tend to increase in value and you may find that you have managed to accrue a significant amount of equity in your home and you may wish to release some of this for home improvements or other expenses. Your lender will want to know what you intend to use the money for and may not agree to an equity release in every situation. For example, it will be easier to remortgage to pay for home improvements than it will be to borrow to fund a business start-up.
Whatever your circumstances or your reasons for remortgaging, the conveyancing team at Fraser Dawbarns will be happy to help you handle the legal side as you go through the remortgaging process.
The Remortgaging Process
Before you begin the remortgaging process, you should have a clear idea of the costs of leaving your current mortgage and what you are hoping to get from remortgaging. It is also helpful to have a good idea of your credit score and how much you can borrow. Once you are aware of your financial situation and the type of mortgage you are looking for, the remortgaging process will be as follows:
Agreement in Principal
You may be able to get an agreement in principal from a prospective lender to find out whether a lender will lend you the amount you need without you having to do a full credit check. This is a helpful way of understanding your position with a lender but it is not a guarantee of approval.
Charges and Costs
Especially when remortgaging with a new lender, you should get an idea of the charges and costs for setting up your new mortgage. Lenders may charge an application fee and a valuation fee and you will need to factor in the cost of legal representation too.
When applying for a new mortgage, you will need to provide personal and financial information to the lender as well as giving details about your current mortgage. It is vitally important to make sure that you are able to access and supply any bank statements, payslip and details of any loans or financial commitments that your lender asks for.
Once everything has been approved and the lender has undertaken the checks and valuations, your mortgage will be transferred. Your solicitor at Fraser Dawbarns will handle the transfer for you.
How Long Does Remortgaging Take?
Factors that can influence the time it takes to complete on a remortgage include the response time from the mortgage lender and whether any problems are encountered during the process. Remortgaging usually takes between four to six weeks, provided there are no complications. The residential conveyancing team at Fraser Dawbarns understand that you want to complete as quickly as possible and will work hard to minimise any delays.
For a general idea of the cost of a basic remortgage, please see our residential conveyancing pricing page. Fraser Dawbarns tailor our service to your individual circumstances, so the best way to get an accurate quote is to contact our team who will be happy to provide you with a quote.
Get A Quote
By completing the short form below, one of our expert conveyancing lawyers will be in touch to give you a quote for the approximate cost of your transaction.
What We Will Need From You
We will need some documents and details from you if we are instructed. These could include the following:
- personal identification
- anything that may influence the exact time you need to complete the equity release, for example, home improvements.
We will also need to know:
- why you have decided to take an equity release
- whether you have a mortgage on your property
- whether there are other people occupying your property other than you
- whether you have discussed your decision about equity release with your family or beneficiaries
- whether you have taken independent financial advice on the details of the equity release plan.
We are very pleased to be in our new home and would not have made it without excellent advice and guidance.Client - Downham Market Office
Why Choose Fraser Dawbarns to Help You?
Fixed Fee Service
It is important to us that our clients know exactly what they will pay and the scope of the services they will receive at the beginning of the transaction. That is why Fraser Dawbarns offer a fixed fee service for clients who are buying property with no hidden costs or unexpected charges. When quoting for our service, we will also detail any fees that will need to be paid to other agencies. These include stamp duty land tax (SDLT), Land Registry fees, VAT and search fees.
Some people would prefer to have enhanced levels of contact during their property purchase. In order to accommodate the different requirements of our clients, we offer a choice of service levels so that you can choose the level of contact that best suits your needs.
The Fraser Dawbarns App (Coming Soon)
For your convenience, Fraser Dawbarns allow you to follow your property purchase on your phone with the Fraser Dawbarns app. Find out at a glance what stage your property transaction is at and review and sign documents on the go. Available on the App Store and the Google Play store.
Contact Us Today
Our team will help you from the beginning of your case to the end, giving you total peace of mind. If you would like friendly, client focused advice on a wide range of legal issues, get in touch and see how we can help you.
Call or email us today and find out how we can make your life easier.