Remortgage
Useful guide
to remortgages.
What is a
remortgage? A
remortgage is
when the terms
of the original
mortgage are
renegotiated,
and usually
means that the
borrower
increases the
amount that they
are borrowing,
which is often
possible due to
a rise in the
value of the
property.
A remortgage is
simply the act
of paying off
your current
mortgage and
taking out a new
one. Many people
do not realize
that they are
able to do this
and so are
losing out on
low interest
rates. By
remortgaging
your home, you
could save
significant
amounts of money.
Remortgaging is
changing
mortgages
without moving
home. It is the
process of
changing your
mortgage for a
better rate, or
to release some
of the equity in
your home, or to
consolidate your
debts. Getting a
remortgage
involves ending
your current
mortgage scheme
and moving to a
new one.
A remortgage is
the process by
which you change
from your
current mortgage
to a new
mortgage. A
remortgage
generally
involves
changing
mortgage lenders
because most
lenders do not
generally offer
remortgage
schemes to
existing
customers.
Most remortgages
usually will
involve a fresh
survey of the
property taking
place, and an
updated
valuation of the
property, which
will take into
account any
changes in value
due to home
improvements, or
due to
fluctuations in
the local or
national
property market.
A remortgage can
be used for the
purpose of
gaining lower
interest rates
on your mortgage
or raising
finance through
releasing
equity.
A remortgage is
a great way of
saving money, as
it is likely to
lower your
mortgage
interest rates.
A mortgage is
also one of the
cheapest forms
of loans around,
so if you're
looking to raise
finance, it
makes sense to
remortgage your
home.
Releasing equity
from your home is a good way of
raising
additional
finance. If your
home has
positive equity
- its market
value is greater
than the
outstanding
mortgage - you
can increase the
size of your
mortgage.
A remortgage may
allow the
homeowner to
repay other
debts such as
credit cards,
personal loans
or it may be a
way of paying
for home
improvements
such as a new
extention,
conservatory or
loft conversion.
When choosing a
new lender for
your remortgage,
make sure to
find out whether
the lender
offers free
valuation, set
up fees or that
they pay for the
legal fees.
A remortgage
should be
considered for a
variety of
reasons:
low interest
rates - a
remortgage can
allow you to
gain a better
rate of interest
and reduce your
monthly mortgage
repayments.
debt
consolidation -
a remortgage can
allow home
owners to
consolidate
their existing
debt into one
manageable
monthly payment.
raise finance -
a remortgage
allows home
owners to raise
finance. As its
interest rates
are among the
lowest of all
loan types, a
remortgage is an
ideal solution
to finance
issues.
You may freely
reprint this
article provided
the author's
biography
remains intact:
John Mussi is
the founder of
Direct Online
Loans who help
UK homeowners
find the best
available loans
via the http://www.directonlineloans.co.uk
website.
There are many
benefits in
choosing a
remortgage, some
of which are
listed below.
A remortgage is
changing your
mortgage without
moving your
home.
Remortgaging is
the process of
switching your
mortgage to
another lender
that is offering
a better deal
than your
current lender
thereby saving
money, even if
you have bad
credit. A
remortgage can
also be used to
raise additional
finances by
releasing equity
in your
property.
More detailed
information....
This normally
involves
switching your
lender although
you can
sometimes change
deals with your
current
provider. If you
do remortgage
with your
current lender
it normally
involves
changing your
existing deal.
You can borrow
from £25,000 up
to £500,000.
Rates are
variable,
depending on
status.
It is important
to note that
there are costs
attached to
remortgaging
such as
redemption
penalties. These
need to be taken
into account
when you are
considering a
remortgage.
It is however
worth bearing in
mind that often
the benefits of
remortgaging can
outweigh the
costs involved.
A remortgage
deal on your UK
house or flat
should offer
you:
Lower &
discounted
interest rates
Reduction of
your monthly
outgoings by up
to 50%
The chance to
clear your
existing
mortgage, plus
any arrears or
other debts
Consolidation of
existing loans
into one
easier-to-manage
monthly payment
Release of
equity in your
house or flat
for a new car,
home
improvements,
luxury holiday
etc.
No restrictions
on what you do
with any extra
cash raised The
chance to borrow
more money and
still find you
are paying the
same or even
less than your
current mortgage
repayment.
You may freely
reprint this
article provided
the author's
biography
remains intact:
John Mussi is
the founder of
Direct Online
Loans who help
UK homeowners
find the best
available loans
via the http://www.directonlineloans.co.uk
website.
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