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Remortgaging guides
Remortgaging is one of the most effective ways to reduce your monthly outgoings or access equity in your home. These guides help you understand when to switch, what to look for in a new deal, and whether overpaying your current mortgage might be a better option.
When remortgaging makes sense
Most fixed and tracker mortgage deals last 2, 5 or 10 years, after which the loan reverts to the lender's standard variable rate (SVR) — usually higher than any deal you could arrange in advance. The general rule is to start comparing remortgage options 3 to 6 months before your current deal ends, since most new rates can be locked in ahead of time without cost. Beyond simply avoiding the SVR, landlords and homeowners also remortgage to release equity (for home improvements, a deposit on another property, or debt consolidation) or to switch mortgage type entirely, for example moving from interest-only to repayment.
Before switching, weigh any early repayment charge on your current deal against the savings from a new rate, and check whether your income, credit profile or the property's loan-to-value has changed since you last applied — all three affect what rates you'll be offered.
Main costs to factor in
Remortgaging isn't free, and the costs can erode the savings from a better rate — particularly if you're switching before your current deal ends. The main charges to account for are:
- Early repayment charge (ERC): Often 1–5% of the outstanding balance if you leave a fixed or tracker deal before it ends. This is typically the largest single cost and the most common reason it isn't worth switching mid-deal.
- Arrangement fee: A product fee charged by the new lender, ranging from nothing to over £1,000. Some fee-free deals carry a higher rate instead — comparing total cost over the deal period matters more than the headline rate alone.
- Valuation fee: Many lenders offer a free valuation for remortgages, but not all. Worth confirming before you apply.
- Legal fees: A solicitor or conveyancer is typically needed, though many lenders offer a free legal service for straightforward remortgages where you're staying with a similar product type.
- Broker fee: If you use a mortgage broker, fee structures vary — some are paid by the lender, others charge a flat fee. Our Mortgage Broker Resource Centre explains how broker fees work and when using one is worth the cost.
Use the Mortgage Calculator to compare the monthly cost of a new deal, then weigh that saving against any early repayment charge on your current mortgage before deciding whether to switch.
Articles
Should I overpay my mortgage?
How overpaying compares to saving — with real UK scenarios and tax implications.
Repayment vs interest-only mortgage
Why switching between types can form part of a remortgage strategy.
Fixed vs tracker mortgages explained
Choosing between fixed and variable at remortgage — pros and cons.
25 vs 35 year mortgage
How extending your term when remortgaging affects monthly cost and total interest.
Credit score for a UK mortgage
What lenders check when you apply to remortgage.
How much can I borrow?
How affordability checks work when you come to remortgage.
Remortgaging calculators
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