Remortgage Savings Calculator
With the record low base rate of interest people whose mortgages are over two or three years old or outside there introductory period could potentially save thousands by remortgaging and getting a better interest rate.
Use our simple remortgage calculator to see the potential savings possible by lowering your interest rate by just one or two per cent.
Reasons To Remortgage
The main reason people remortgage is to take advantage of better interest rates if your mortgage has gone past it introductory period the interest rate could be tracking above the current record low base rates. If this is the case it’s definitely worth searching the market to see how much you could save. If you’re in the market for a remortgage why not fill out are quick mortgage quote form and one of our mortgage experts will call you back and go through your options.
Moving house is another reason people may choose to remortgage. When moving home some people simply transfer their current mortgage to the new property this usually incurs the same fees as any standard remortgage so it’s definitely worth searching the entire market for a to check if you could get a better rate than by just sticking with your current provider.
Debt consolidation is the final major reason people chose to take out a remortgage. People with a lot of unsecured debt may opt to use equity available in their home to pay off their unsecured debt and reduce their monthly outgoings.
Whilst this option saves you money in the short term you'll ultimately end up paying more in terms interest over the term of your mortgage but is an option to be considered if repayments on unsecured debts have gotten out of hand due to unexpected personal circumstances.
Factors to consider
One factor to consider when remortgaging is the currently equity you have available most of the mortgage deals currently on the market require 20% equity for you to remortgage.
A further thing to consider are the fees associated with remortgaging these include any early repayment fees you may have to pay on your current mortgage. Set up fees for your new mortgage and surveyors fees for valuation of your property these should all be factored in to savings calculations.
Many people choose to absorb these costs into the new mortgage and still save thousands over doing nothing.