For homeowners or property owners in Teesside contemplating remortgages, there are diverse reasons to explore this financial option. Whether you currently have a mortgage on your property or own it outright, a remortgage can serve various purposes. It can provide funds for debt consolidation, support home improvements, or help secure a home deposit for your child or even for your own buy-to-let endeavor. However, the primary motivation for considering a remortgage often revolves around finding a new lender and, consequently, reducing monthly payments.
In the context of Teesside, where the past 12 months have seen an increase in interest rates, it becomes crucial for individuals approaching the end of their current mortgage term to seek a more advantageous and competitive alternative. Opting for a remortgage allows you to sidestep staying on a bank’s standard rate, which could potentially be more than double the rate offered by a new lender. To make an informed decision, it is vital to find a new mortgage that aligns with your current financial needs.
Furthermore, a compelling reason to explore remortgages in Teesside is if there have been changes in personal circumstances. For instance, if your credit file has improved since your last mortgage arrangement, you may now have access to high street rates that were previously beyond reach. This creates an opportunity to capitalize on more favourable terms and potentially save on overall mortgage costs. In Teesside, remortgages can be a strategic financial move, especially when tailored to individual requirements and current market conditions.
As with all mortgages these rates change on a regular basis, at them moment these are changing weekly. With lenders increasing the decreasing rates as they want. Nothing unusual in that, but it is more frequent currently. But when you secure a mortgage rate. This is not the end of it. If rates drop while you are waiting for the tie in term to end. We can still change it. Normally up to the last few days. Obviously if rates increase and you secure the lower rate you get to keep it. If you are tied in to a deal on January the 1st We could have everything set up from July, then if rates reduce in September and again November we have reduced the mortgage twice in readiness for the first of January. Giving us even more bites at the cherry… As a broker we change these and assess this right up to the completion date. But by securing the rate in July If rates continue to rise, you will still keep the cheaper rate. It is beneficial to set it up early then keep it under review. Do not wait until the last minuet It will reduce you options and could increase the rate.
Changes in the property value:
As we all know house price change over time. Over a 25 year mortgage we would expect the value will increase. But within that time, you could end up with spells where it is worth more and less that you paid for it. With a remortgage your current lender may have a computerised valuation. This is what you hear on the news when Fiona Bruce states the house prices this month have increased/ decreased by 0.1% But when you do a remortgage the lender will give you a new valuation. This could be a computer valuation, or a physical valuation completed by an independent Surveyor. Not an estate agent. An estate agent can not give you a valuation they will only offer a for sale price this is different. You need a valuation so we can calculate the equity in the property. The more equity the cheaper the rates
Valuations and legal fees:
In most cases for a remortgage we would always try give you the option of taking on a free valuation and free legals. When I say the options, I mean a lender will offer you one of their in-house solicitors, normally based in Manchester, Leeds or Birmingham. You never have to see them as it is all done online and through a broker. The alternative would be to look at a lender that would give you cash back instead to use your own solicitor. A valuation is also free. The lender would pay for this for you. If you want an idea of the house value, we have a number of online tools we can use to give you an idea of the property price.
What do we need for a remortgage?
To provide expert guidance on remortgages in Teesside, we tailor our advice to you and your plans. Our meetings, lasting approximately an hour, ensure personalized recommendations. All we need are essential documents: proof of address, ID, and typically, the latest 3 payslips along with a recent bank statement showcasing your conduct and salary credits. If you don’t have these on hand, no worries; we can explore alternative options to streamline the process.
If you are about to start a job or have just started a job, we can use the contract. If you are on probation lenders will still do this.
As with all mortgage we have rates available that are fixed for up to 10 years. Variable linked to the base rate, Discounted linked to the individual bank rate, Offset linking a bank account. Rates with unlimited overpayments, or 10% overpayment options.
Advantages of a remortgage:
- Reduces you interest rate
- Unlock equity in your home.
- Save you money rather than staying on the banks standard rate.
- Raise capital- for debt consolidation, home improvements.
- Change the mortgage term
- Change the payment type from interest only to repayment.
- Secure a rate by fixing the payment.
- Move to a high street lender from a specialist and reduce the rate.
- If you have not changed the mortgage in years. Review it
Disadvantages:
If you are not tied into your lender there is NO downside or disadvantage.
A tailored solution, by and experienced mortgage adviser
Expert guidance to help you thought he process and make it as stress free as possible.
On going support from start to finish.
NO obligation consultation. A free mortgage review,
Secure your financial future, and enjoy the benefits of a more affordable mortgage by contacting us. 01642671747or email paul@goodmortgagesolutoins.co.uk