Important Points To Consider To Get The Best Mortgage Deals

03 May 2019

Owning your personal house is one of life's most desired experiences. It's the dream of every homeowner. Hence, such a lifetime investment should not be managed in an unorganized way or be left to chance. According to UK Finance, there were about 34,700 new remortgagers in the UK between February and March this year. This surprising figure represents about £7.3 billion of remortgage rates for both 2018 and early 2019 in the UK remortgaging industry. In addition, the figures also show that more than 86% of new home buyers heavily depend on Mortgage advisors for free mortgage advice.

Since mortgage only lasts for years or a few decades, nobody wants to be tied down by this lifespan, paying more than they are expected. In other words, a remortgager wants to be sure they are investing in the best remortgage deals with regards to the type of mortgages available in the market.

However, there are buckets of points to consider to get the best remortgaging deals, and of them is through the services of an independent and competent mortgage advisor in the UK. Of course, this is natural since they are exclusively trained to scrutinise the UK mortgage market and give relevant advice to potential borrowers or home buyers. Untrained individuals, new home buyers or borrowers, and remortgagers can never wade through the complex and challenging processes of remortgaging to find the best remortgage deals. An experienced UK remortgage advisor, on the other hand, has done the required research and can use his knowledge to find the best remortgage deals in the UK for you.

Once this is done (how and what to compare), refinancing your mortgage deals becomes easier and safer. Like every other financial decision, remortgaging requires top-notch strategy, research and careful considerations. Remortgaging, especially in the UK mortgage industry, can be an expensive process but you need to ensure that it will financially benefit you. This is why it is essential to get professional mortgage advice from a mortgage advisor, research the market for available products, and consider the following points for the best remortgage deals uk.


When people say they are looking for the best mortgage deals, what exactly do they mean?

Well, in simple and clear terms, it means a deal that fits and meets your mortgage needs while not increasing your expenses. It means a mortgage deal that satisfies your mortgaging demands without breaking the bank. It refers to a mortgaging that reduces your periodic payments and current expenses with little interest rates and more satisfactory features.

The following points are important to consider when looking for the best mortgage deals:

What type of mortgage do I want?

You might be thinking of remortgaging to a new loan that enables you to unlimited extra repayments when you have additional cash on your mortgage, or you might want to go for a fixed rate instead of a variable rate or Vice Versa. When this happens, you should consider your lifestyle, demands or tastes and how it may affect the kind of your preferred mortgage. In essence, you should have a menu of specifications and features of your mortgage before comparing your options.

What are the terms of the mortgage?

The terms of the mortgage and its length can, undoubtedly, influence the amount of savings and ease of getting it from remortgaging. For example, if you remortgage after your present mortgage for ten years and spread the balance over 20-year period, you may pay more over the 30-year period even with the little interest rate.

What are my savings?

One of the most vital points to consider during remortgaging is savings. This is even more important in the UK mortgage market as we now have increased set-up fees by lenders. While opting for a lower interest rate is a good idea, ensure that the cost of switching lenders is not up to the cost savings. This is to ask your lender the necessary info if there's any exit fees or related charges if and when you want to exit your present mortgage. Also, don't forget to consider the fees charged by your new lender.

Talk to your present Lender

Ask your present lender for the best deal available in the market. Your lenders will always have many incentives and recommendations for remortgaging with waived fees and discounted interest rates. Most cases, your present lender can get you a redemption quote and suggest the best remortgage options for you. A lot of banks and other financial institutions provide better mortgage deals to their present clients that are thinking of leaving them for another institution. Leaving your mortgage with the same company will certainly save you time, effort and money during the process of remortgaging.

Check the fees

Check each of the fees attached to each lender. However, most of the common mortgage fees are valuation, survey or application fees. Carefully assess and compare the fees attached to any of the potential new mortgages and evaluate their long-term effect on your mortgage.

Compare features

Think about the features you would like to see in your new mortgage, and it will match the aim of your remortgage. For example, you may need to compare those mortgages without ongoing fees if you want to reduce your costs of account-keeping. A mortgage that enables additional repayments without penalty might be ideal if you receive a pay rise.

Compare Interest rates

One of the things to top your consideration list when considering the best remortgaging deal in the UK is the different interest rates offered by different lenders. Decide on whether you are going for variable or fixed rate; how long the fixing will be if you are going for a fixed rate. When you start comparing interest rates, ensure you are comparing oranges with oranges. For example, if you are considering a tracker mortgage, check how each rate is calculated in relation to the base rate of the Bank of England and the terms associated with it. To get the best mortgage deal, you might also consider Loan to Value Ratios (LTV) and the associated fees with the loans.

Check your credit history and calculate the costs

To support your remortgaging negotiations, check your credit history to be sure that it's healthy. In addition, ensure to use a refinancing calculator to calculate the projected costs. This, if done, will assist in identifying the profits you will make during the mortgaging. Don't forget to determine the upfront and exit fees attached to your new mortgage.