Today, remortgaging is a common practice in the UK; people do it either to
repay their initial mortgages or to get some money to settle other outstanding
financial obligations. To
re-mortgage, however, you need to have sound
mortgage advice. Going in without knowing what to expect can see you lose a lot of money.
Use the following tips to get the best remortgage deal.
• The first
thing you should do if you want favorable rates is to make yourself look
attractive to lenders. The rules are stricter today than they were in past.
Lenders will spend a lot of time making sure that you are able to pay them back.
They will look at how much you make and how much you spend. The difference will
allow them to see whether you can meet your monthly mortgage rates. Look at your
finances in advance.
• A good credit
rating will also go a long way in getting a good remortgage deal. If you have
had credit problems in the past it is time to start cleaning up so that you can
have a better chance of getting a good mortgage deal.
•
Mortgage life insurance also helps. This reassures lenders that in the event of your passing
they will still receive their payments.
• Shop around
before you make a decision. It is very unwise to get a remortgage loan before
you compare lenders. The important thing is to look at interest rates. It is
very likely that in the first 5 to 10 years you will pay either a flat or very
low interest rate. When this period lapses the lender will charge your loan the
regular rates. This is the rate that you will be looking into.
• Check whether
in case you decide to repay your loan early you will be charged for it.
Labels: equity release, first time buyers, life insurance, mortgage advice nottingham, mortgages, the re-mortgage process