Find a better remortgage deal and start saving

How do I remortgage my home?

Remortgaging is one of the most effective ways to reduce your monthly mortgage payments or release equity from your property. Follow these five steps to switch to a better deal with confidence and avoid costly mistakes along the way.

1. Step 1. Review your current mortgage deal: Check when your current fixed or tracker rate ends and note any early repayment charges that apply. Your latest mortgage statement will show your outstanding balance, current interest rate, and the date your deal expires. If you are within six months of your deal ending, this is the ideal time to start looking. Write down your remaining balance, monthly payment, and current rate so you have a clear benchmark to compare new deals against.
2. Step 2. Work out what you want from your new deal: Decide whether your priority is lower monthly payments, a shorter mortgage term, or releasing equity for home improvements or other purposes. Knowing your loan-to-value (LTV) ratio is essential at this stage. If your property has increased in value since you bought it, your LTV will be lower, which typically qualifies you for better rates. For example, dropping from 80% LTV to 70% LTV can reduce your rate by 0.2% to 0.5%, saving you hundreds of pounds each year.
3. Step 3. Compare remortgage rates across the market: Rather than accepting a product transfer from your existing lender, compare deals from across the whole market. A mortgage advisor can search 90+ lenders on your behalf and identify deals you would not find on the high street or through comparison websites alone. This is especially valuable if you have unusual circumstances like self-employment, complex income, or a less-than-perfect credit history. Your advisor will also factor in arrangement fees, cashback offers, and free legal work to calculate the true cost of each deal.
4. Step 4. Submit your application: Once you have chosen a deal, your advisor will handle the application paperwork, including income verification, affordability checks, and arranging the property valuation. Most lenders require proof of income (payslips or tax returns), three months of bank statements, and proof of identity. Many remortgage deals offer free valuations and free legal work, which can save you over 1,000 pounds in upfront costs. The lender typically issues a formal mortgage offer within 2 to 4 weeks of receiving your complete application.
5. Step 5. Complete the legal work and switch: A solicitor or conveyancer handles the legal transfer of your mortgage from your old lender to the new one. They will request your title deeds, handle the redemption of your existing mortgage, and register the new charge with the Land Registry. This process typically takes 2 to 4 weeks. Once complete, your new monthly payments begin and you start saving from day one.

What kind of remortgage do I need?

Your reasons for remortgaging will shape the type of deal and lender that suits you best. Here are the most common situations homeowners find themselves in when looking to switch, along with guidance on finding the right solution for each one.

Remortgaging to save money on your monthly payments

If your current fixed or tracker rate is ending, switching to a new deal before you move onto your lender's standard variable rate (SVR) is the single biggest saving most homeowners can make. The average SVR in the UK sits around 7.5% to 8.5%, while competitive fixed rates can be significantly lower. Even a small rate reduction on a typical mortgage of 200,000 pounds can save you hundreds of pounds each month. On a 25-year term, this adds up to thousands of pounds over a 2 or 5-year deal. Compare current remortgage rates to see what deals are available right now.

Remortgaging to release equity

If your property has increased in value since you bought it, you can remortgage for a higher amount and use the additional funds for home improvements, buying a second property, or consolidating existing debts into one lower monthly payment. Keep in mind that borrowing more increases your overall mortgage debt and your monthly payments will be higher. Your advisor will help you understand exactly how much equity you can release while keeping your repayments comfortably affordable and ensuring you pass the lender's affordability assessment. Learn more about equity release through remortgaging.

Remortgaging with bad credit

A poor credit history does not automatically disqualify you from remortgaging. Specialist lenders consider applications from homeowners with CCJs, defaults, missed payments, IVAs, or low credit scores. Rates will typically be higher than standard deals, reflecting the additional risk, but a specialist mortgage advisor can identify lenders most likely to accept your application and negotiate the best rate available to you. The key is matching your credit profile to the right lender's criteria, as each lender scores applications differently. Read our guide to remortgaging with bad credit.

Remortgaging when self-employed

Self-employed borrowers often face additional scrutiny from lenders, who typically require two to three years of accounts, SA302 tax calculations, or tax year overviews from HMRC. Some lenders are more flexible than others, accepting just one year of accounts or using different methods to calculate your income. An advisor who understands self-employed income structures can match you with the right lender and present your income in the most favourable way. This can make the difference between acceptance and rejection, or between a standard rate and a higher one. Explore your self-employed remortgage options.

Remortgaging after divorce or separation

If you are going through a divorce or separation, you may need to remortgage to buy out your partner's share of the property or transfer the mortgage into a single name. This process involves affordability assessments based on one income rather than two, which can be challenging. Your advisor can help identify lenders with the most favourable criteria for single-income applications and guide you through the process of removing a name from the mortgage. Court orders such as a Mesher Order or transfer of equity may also be involved. Find out how remortgaging after divorce works.

Buy-to-let remortgage

Landlords remortgage buy-to-let properties for the same reasons as residential homeowners: to find a lower rate, release equity for purchasing additional properties, or switch from an expiring deal before the SVR kicks in. Buy-to-let remortgage criteria differ from residential mortgages, with lenders focusing on rental income coverage (typically 125% to 145% of the mortgage payment at a stressed rate) rather than personal income. Portfolio landlords with four or more properties face additional requirements. Compare buy-to-let remortgage options.

Product transfer vs full remortgage

When your deal ends, your current lender will usually offer you a product transfer to a new rate. While this is simpler and faster than a full remortgage, with no need for a valuation or legal work, it limits you to one lender's deals. Comparing the wider market often reveals better rates, especially if your property value has increased, your credit profile has improved, or your LTV has dropped below a key threshold. A good advisor will compare your lender's product transfer against the best deals across the whole market and recommend whichever option saves you the most. Compare product transfers and remortgages side by side.

What types of remortgage deals are there?

Remortgage deals come in several forms, each with different implications for your monthly payments and financial flexibility. Understanding the differences will help you choose the right structure for your situation and your attitude to risk.

What fees might I have to pay when remortgaging?

Remortgaging involves several potential costs. Understanding these upfront will help you calculate whether switching to a new deal genuinely saves you money after all expenses are accounted for. The good news is that many of these fees can be reduced or avoided entirely by choosing the right lender and deal.

How much can I save by remortgaging?

The amount you save by remortgaging depends on several factors specific to your property, your current deal, and the rates available to you. Even small differences in interest rates can add up to thousands of pounds over the life of your mortgage. Here are the key factors that determine your potential savings.

• Your current interest rate versus available rates: The gap between your existing rate (especially if you have moved onto your lender's SVR) and the best available deal determines your monthly saving. Moving from a typical 8% SVR to a competitive 4.5% fixed rate on a 200,000 pound mortgage could save you around 400 pounds per month, or nearly 5,000 pounds per year.
• Your outstanding mortgage balance: Larger mortgages produce bigger absolute savings for the same rate reduction. A 0.5% rate drop saves approximately 42 pounds per month on a 100,000 pound mortgage but around 83 pounds per month on a 200,000 pound balance, and 125 pounds per month on 300,000 pounds.
• Your loan-to-value ratio: The lower your LTV (the proportion of your property's value you are borrowing), the better the rates available to you. Dropping below key LTV thresholds like 75%, 60%, or 50% can unlock significantly cheaper deals. If you are close to a threshold, a small overpayment before remortgaging can be worth considering.
• Your remaining mortgage term: A longer remaining term means lower monthly payments but more interest paid overall. Some homeowners use remortgaging as an opportunity to shorten their term and pay off their mortgage faster, which increases monthly payments but reduces the total cost of the mortgage substantially.
• Total fees and charges: Always subtract the total cost of remortgaging (arrangement fees, legal costs, valuation fees, and any early repayment charges) from your projected savings. A deal that saves you 100 pounds per month but costs 2,000 pounds in fees takes 20 months to break even. Your advisor will calculate the true net saving for each option.
• Your credit profile: A strong credit score qualifies you for the lowest advertised rates. If your credit has improved since your last mortgage application, perhaps because you have paid down debts or resolved past issues, you may now be eligible for significantly better deals than before.

What are the best tips for finding a better remortgage deal?

Switching your mortgage can save you thousands of pounds, but only if you approach it strategically. These five practical tips will help you secure the best possible deal and avoid the most common mistakes homeowners make when remortgaging.

1. Start looking 6 months before your deal ends: Most lenders let you lock in a new rate up to 6 months before your current deal expires. This gives you ample time to compare options, gather documents, and complete the application without the pressure of your deal ending and the SVR kicking in. Many lenders also offer rate-drop guarantees, meaning if rates fall between your application and completion, they will honour the lower rate instead.
2. Know your exact loan-to-value ratio: Check your property's current value (using recent sold prices for similar properties in your area) against your outstanding mortgage balance. If your LTV has dropped below a key threshold such as 75%, 60%, or even 50%, you will qualify for significantly cheaper rates. In some cases, making a small overpayment to push your LTV just below a threshold boundary can save you far more in lower interest over the deal period.
3. Compare the total cost, not just the interest rate: A mortgage with a 4.2% rate and a 999 pound arrangement fee may actually cost more over two years than one at 4.4% with no fee. Ask your advisor to calculate the total cost of each deal over the full product period, factoring in the rate, all fees, any cashback offered, and the value of free legal work or valuation incentives. This true-cost comparison reveals which deal genuinely saves you the most money.
4. Check for free valuations and free legal work: Many remortgage deals include a free property valuation and free conveyancing, which together can save you up to 1,500 pounds or more in upfront costs. Prioritise these deals when comparing options, as they significantly reduce your switching costs and improve your break-even point. Your advisor will know which lenders currently offer these incentives.
5. Do not just accept your lender's product transfer without comparing: When your deal ends, your current lender will contact you with a product transfer offer. While these are convenient and require no valuation or legal work, they rarely match the best deals available across the wider market. Get an independent comparison from a whole-of-market advisor before deciding. You might find a better rate elsewhere, or you might confirm that the product transfer is genuinely the best option. Either way, you will have made an informed decision.

How does the remortgage process work from start to finish?

Remortgaging replaces your existing mortgage with a new one, either from a different lender or a new deal with your current lender. Understanding each stage of the process helps you prepare properly and avoid unnecessary delays. Here is what happens from start to finish.

Your current deal and the standard variable rate: When you first take out a mortgage, you typically agree to a fixed or tracker rate for a set period, usually 2 or 5 years. When this introductory period ends, your lender automatically moves you onto their standard variable rate (SVR), which is almost always significantly higher. The average UK SVR currently sits between 7.5% and 8.5%, compared to competitive fixed rates that can be several percentage points lower. This jump in rate is the trigger that prompts most homeowners to remortgage, and it is the point at which the potential savings are greatest.

Searching the market for a better deal: Rather than accepting the first offer your existing lender puts forward, you compare rates, fees, and terms from across the whole market. A mortgage advisor searches multiple lenders simultaneously and identifies deals matched to your specific circumstances, including your income type, property value, credit history, and borrowing requirements. This whole-of-market approach regularly uncovers deals that are not available directly to consumers through lender websites or high-street branches.

The application and documentation: Once you choose a deal, your advisor submits a full mortgage application to the new lender on your behalf. You will need to provide proof of income (payslips for employed applicants, or SA302s and tax year overviews if self-employed), three months of bank statements, proof of identity and address, and details of your existing mortgage and any other financial commitments. The lender will run affordability checks and a credit search as part of their assessment.

Valuation and underwriting: The new lender arranges a valuation of your property to confirm it provides adequate security for the loan amount. Many remortgage deals include a free valuation as standard. The lender's underwriting team then reviews your full application, verifies your documentation, and assesses your affordability. Once satisfied, they issue a formal mortgage offer, which typically arrives within 2 to 4 weeks of receiving your complete application.

Legal completion and the switch: A solicitor or conveyancer handles all the legal work required to transfer your mortgage from your old lender to the new one. They request your title deeds, handle the redemption of your existing mortgage, manage the transfer of funds, and register the new charge with the Land Registry. On the completion date, your new lender pays off your old mortgage in full, and your new deal begins. Your new monthly payments start from this date, and any savings take effect immediately.