The remortgage process does not involve getting a second mortgage or moving to a different home. In essence, a remortgage is when you replace your original mortgage with another from a different lender in order to get low remortgage rate. Remortgaging is fairly simple, and it should not be any more complicated than it was to obtain your original mortgage, as long as your credit report is still good and you have a deposit totalling at least 25 per cent of the value of the property. The lender you choose will offer you remortgage advice, they'll go over your application, and they will ask you for necessary paperwork. The paperwork required usually includes proof of income, expenditures, and debts.
When you are looking to remortgage, often a home valuation needs to be done in order to determine if the value of your property has increased or decreased since you applied for your original mortgage. Your home?s value may have increased due to changing property markets, home improvements, or home additions. In most cases, the valuation for remortgage is less intensive than for an original mortgage. The surveyor will look at the outside of the house, and they will ask a few important questions. In some other cases, a full inspection will need to be made. Your lender may charge you a valuation fee to cover this expense. In addition, you may be charged legal fees and loan processing fees during the course of remortgaging.
Generally speaking, the remortgage process should take anywhere from four to six weeks to complete. Depending on the lender and the circumstances surrounding your specific loan and property, this time frame could be longer or shorter.
Once your paperwork has been reviewed and a credit check has been done, your remortgage broker will search the available remortgage packages to find the best remortgage rate for you. The remortgage rate you'll be given will be based on the amount of money you are asking for, the value of your home, and your credit score (which will depend on the lender you have applied to). Depending on the remortgage lender, there may be more factors taken into consideration, but generally speaking, these are the things that influence the remortgage rate you're offered.
If you'd like help finding the best remortgage rate and remortgage plan for you, take a minute to fill out out short questionnaire, and we will put you in touch with a broker from the SimplyFinance network who will help you to find the best deal for you,