Remortgage Advice in Newcastle

If your current fixed-rate mortgage deal has less than 6 months remaining, you have the opportunity to secure a new deal.

Typically, your existing lender will present you with a product transfer offer, which we will then compare to what other lenders have available. It’s generally more cost-effective for you to switch to a new lender.

Your new lender will make the process of obtaining a new deal convenient, often through your mobile app or internet banking portal. However, we strongly recommend that you don’t proceed with this without first consulting a mortgage broker in Newcastle, like us. Shopping around and ensuring it’s the best option for you is a wise step.

If your mortgage payments fluctuate with interest rate movements and you’ve owned your property for a while, it’s likely that you’re currently on your lender’s standard variable rate.

Being on a standard variable rate offers flexibility, particularly with overpayments. However, many clients prefer the peace of mind that comes with a fixed rate when it comes to budgeting.

Fixed-rate remortgage options typically include 2-, 3-, and 5-year deals. While these fixed deals are recommended for over 90% of customers, they may not be the ideal choice for everyone. Your mortgage broker in Newcastle will assess your situation and recommend the best path forward for you.

Opting for a fixed rate provides the security of protection against potential future interest rate increases, and it simplifies your finances with a consistent monthly mortgage payment.

If you need to raise capital, and you’ve held a mortgage for several years, it’s likely that you’ve built up a significant amount of equity in your property. Opting for a remortgage in Newcastle to release equity can provide you with the means to access this cash if the need arises.

Clients typically choose to remortgage in Newcastle to release equity for several reasons, including debt consolidation (combining loans and credit cards), providing financial gifts to family members, managing finances during divorce or separation, funding home improvement projects, and, notably, for those aged 50 and over, as part of retirement planning.

Similar to standard remortgages in Newcastle, you’ll still need to meet the lender’s affordability criteria and undergo a credit check.

A Help to Buy remortgage in Newcastle serves the purpose of settling the equity loan that was initially acquired when purchasing a new build property through the Help to Buy scheme. This scheme facilitated the purchase of new homes with as little as a 5% deposit, supplemented by a 20% equity loan.

For the initial 5 years, no interest is accrued on the equity loan. After this period, the interest rate becomes linked to inflation. Additionally, the loan amount is tied to the value of your property, meaning that if your home’s value has significantly increased, so has the loan amount.

When it comes to repaying your Help to Buy equity loan, you have several options to consider. It’s advisable to seek professional mortgage advice in Newcastle from us to explore these options before making any decisions.

Usually, a debt consolidation remortgage in Newcastle involves settling any remaining balances from credit cards, personal loans, and similar debts by incorporating them into your mortgage.

However, this isn’t without its risks. We are here to guide you through weighing the advantages and disadvantages of a debt consolidation remortgage in Newcastle and to suggest the most suitable course of action.

For older borrowers, our dedicated later life team is available to help. If you fall into this category, you can explore further details about mortgage options for individuals over 50.

You should think carefully before securing other debts against your home. By adding your unsecured debts to your mortgage, which is secured on your home, you are potentially putting your home at risk if you cannot make the required repayments.

Although the total monthly cost of servicing your debt may have reduced, the total cost of repayment may still have risen as the term of your mortgage is longer than it may have taken to repay the debts originally.

Frequently, older individuals consider remortgaging in Newcastle as a means to access the capital tied up in their property. This is often done to supplement pension income, help family members, or eliminate debts.

The mortgage market has seen remarkable innovation in this area in recent years, resulting in a wide array of excellent products tailored to older homeowners who are interested in purchasing a new property or remortgaging in Newcastle.