When Is it a Good Time to Remortgage?
There are lots of reasons you might decide it is time to pick which remortgage is the best option. We’ve run through some of the scenarios below.
The End of a Fixed-Rate Deal
Most people pick a fixed-rate mortgage, with none of the uncertainty that your rates will fluctuate month to month. When that ends, you will transfer to the SVR automatically, normally at a far higher interest rate.
How long does it take to remortgage? Generally, it takes a few weeks, so it's worth deciding which mortgage you'd like to change to a good six months in advance.
Release Equity
Another common reason to remortgage is to use the equity in your home to release cash for things like a wedding, holiday, renovation or purchasing a car. How long to remortgage in this scenario depends on the agreement you have and how much you'd like to borrow.
How Long Does a Remortgage Take?
Most applicants require around four to eight weeks, but there are several aspects of your remortgage that will impact the timescale.
- Can I remortgage after changing jobs? If your income, employment or earnings have changed, it can make the process more complex, particularly if you choose a mortgage with an alternative lender.
- How long to remortgage with a revaluation? Lenders need to check what your home is worth and may require an independent surveyor to assess the property or might use a desktop valuation. Can I remortgage and request the latter? Not usually; it is up to the lender how they value your home to assess their lending risk.
- How do remortgages work in terms of legal requirements? You may find your lender offers free legal services as an incentive, but otherwise, you might need to wait for a solicitor to verify your ID and deal with the formalities.
The good news is that remortgaging is typically much quicker than an initial mortgage, depending on which remortgage lender you pick and whether you meet all the eligibility criteria.
Is it a Good Time to Remortgage?
Picking your timing is important, particularly if your fixed-rate deal is coming to an end. However, you wouldn't usually be advised to remortgage too soon because lenders charge early exit penalties, which can be steep.
Can I remortgage during a fixed term? You generally can, but this would rarely be a great option because it is unlikely the cost savings from a more competitive product would outweigh the exit fees.
Working out how long does a remortgage take means you can align your application with all the relevant factors and avoid paying more than necessary in interest charges.
How Do I Remortgage Quickly: Step by Step
We typically recommend you start looking at which remortgage products might be best for you six months before a fixed-term deal is due to end.
If you’re unsure of the term end date in your existing mortgage, it’s worth verifying this in your contractual paperwork to ensure you know when the ideal timing is, although how long to remortgage can vary based on your circumstances, as we’ve looked at above.
You can also use this time to pay down any debts and work on improving your credit score because how long does remortgage take will depend on your creditworthiness and whether there are any issues on your credit report that give a remortgage lender a reason to delay.
How long does a remortgage take with a broker? We can normally turn the process around faster by ensuring your paperwork is complete and correct; you submit all the supporting information, select a lender with the right remortgage options, and know which remortgage product is ideal for your application.
How Long Does it Take to Remortgage After Applying?
You can apply between two and six months before a fixed-rate ends. Still, you can potentially apply earlier if you're worried about how long remortgage takes or know there are complexities your lender will need to assess.
Can you remortgage during a fixed term, with a completion date at the end? Yes, some lenders will hold an offer for up to six months, so this can be a great option if you're keen to be prepared.
How Long to Remortgage From Application to Completion?
Once you’ve decided which remortgage to apply for and submitted your application, your remortgage lender will work through a credit check, property valuation and other legal processes.
Everything is taken care of by the lender, but it can take around four weeks on average.
Why remortgage through an independent, whole-of-market broker? Our skilled, professional team can advise which remortgage options are best suited to you, liaise directly with your selected lender, and ensure your remortgage is completed in plenty of time to meet your requirements.
