Your ‘Remortgaging Deadline’ is under our spotlight this month. Are you focusing hard on what will happen on October 31 and the outcome of Brexit?
Whether you’re hoping for a no deal, a deal or to remain, have you checked your mortgage statement recently?
Data shows that more than £26-billion-worth of mortgages will come to the end of their introductory term in October.
If that’s you, now’s the time to get ahead of the game and start planning to take advantage with a cheaper remortgaging deal.
If your current product expires in October, time is now short for you to arrange your remortgage.
Usually you should factor in up to two weeks to get an offer of advance from the new lender. Then plan for four weeks for the legal work to be done.
The Brexit Deadline and the current Remortgaging Bonanza
The mortgage market is continually evolving to meet the needs of its expanding customer base.
Lately, it has seen a big upsurge in remortgaging.
Homeowners are understandably flocking to lock down the slew of cheap fixed deals now available amidst fears about Brexit uncertainty.
Supply and demand is driving the growing number of cheap deals available.
It means there’s intense competition between lenders for new remortgaging customers. So if you need to remortgage now or soon, your timing is good.
If you’re worried about how much your home is now worth because the housing market is flat and house prices seem to be stagnating, then look at the bigger picture! You will see that over the last 5 years house prices have increased significantly.
Official Land Registry data shows that the average UK house price in October 2014 was £191,855, and had risen to £229,431 by May this year (the latest month for which figures are available). That’s an increase of just under 20%.
Fixed Deals are in High Demand
Already this year has been an intensely busy one for remortgaging – with fixed deals being the product of choice.
That’s not surprising. Many homeowners whose deals are coming to an end this autumn could save about £200 a month by remortgaging to a five-year fix.
The number of people remortgaging has risen 20% compared to last year, says UK Finance.
So if you’re in the market for a remortgage, how do you go about it?
It’s always best to speak to your mortgage broker a few months ahead. If you’re hoping to use the remortgage to free up for extra cash for home improvements or other purposes, don’t forget to mention this so it can be factored in.
Are you interested in learning more about the right remortgaging for you?