With all of the changes to the Bank of England base rate and subsequent increase and decrease merry go-round of lender rates over the last few years, you can be forgiven for not knowing whether it is worth changing your mortgage deal or not. Fortunately, increases in house prices during this period means it may very well be worth your time to take professional advice on your options.

Let us help you spot the five signs that a remortgage could be on the cards and key in unlocking your financial goals.

1. Your current mortgage deal has finished or is finishing soon

When an introductory offer such as a fixed rate comes to an end you will revert to the lenders standard variable rate which will almost always be higher than your current deal and in some cases much higher – this could give you a pretty nasty payment hike meaning you could make a big saving by choosing another product when compared to the cost of leaving your mortgage to fall on to the lenders standard variable rate.

Does this mean changing lenders? Well not always – many lenders offer deals to retain your business, known as a product transfer and these should be considered as well as remortgage options, moving to a new lender can often result in getting a better deal but a benefit of selecting a product transfer with your current lender is that there will be no new assessments of affordability so even if your circumstances have changed for the worse then you may still be eligible.

A mortgage broker can explain the benefits of each and help you make the right choice.

2. The value of your property has increased

In recent years most parts of the UK have witnessed a steady growth in house prices. If the value of your home has significantly increased since you purchased it or last mortgaged you may have built up a good amount of equity.

By remortgaging, you could secure a lower rate of interest and save money on both your monthly repayments and mortgage overall because of your improved equity position or you may be able to leverage that extra equity and unlock additional borrowing power which could be used for home improvements or even to consolidate some other outstanding debts giving you more disposable income to spend elsewhere or save. This could even prove to be financially beneficial if you have an early repayment charge to leave your current lender.

3. Your financial needs have changed

A new mortgage is a great opportunity to re-assess the suitability of your current provisions.

Perhaps you are now in a position to increase your payments and repay your mortgage sooner by shortening your term or maybe you need some more financial breathing space and need to increase your term to bring your monthly repayments down.

It’s not just changes to the term that you can look at, you may want to select a new scheme that better suits, a fixed rate that reflects your need to have a more certain budget for example or even a flexible mortgage that gives you the option of using your savings to overpay and reduce your debt. Additional borrowing could also be necessary for a variety of reasons and that is an option both on a remortgage to a new lender and even a product transfer with your current lender in many cases.

If your financial needs have changed it may be worth taking professional advice on how to change your mortgage to continue to be suitable.

But isn’t that going to be costly and time consuming?

We get asked that a lot and in short, No. Most lenders actively seek remortgage business and to incentivise customers to come to them will often offer deals with low or no fees, think free valuation, free solicitors or even a cashback towards legal costs and in some instances free solicitors and a cashback.

Time consuming?

Well a Solicitor would be involved in a remortgage but not to the extent of when you purchased, there will be no searches and no enquiries to be made with third parties – they will simply need your mortgage offer and a short remortgage questionnaire completing (typically done online) and a Mortgage Deed to be signed – you are looking at weeks and not months and that’s if a remortgage to a new lender is your best route, if your best route is a new deal with your current lender things will be even more straightforward.

So if you are already on a lenders standard variable rate or about to be, feel you may now have a stronger equity position due to property price increases or your financial situation has changed then now may be the perfect time to take advice on your mortgage options.

Take the Next Step with Mortgage Hub Solutions

If  your financial situation has changed, Mortgage Hub Solutions is here to help. We can guide you through your options and ensure you get the right deal.

✅ Book a Free Consultation Today and unlock the potential in your mortgage.