The UK mortgage market is one of the most competitive in the world, so it makes sense to use an independent, whole of market and regulated mortgage broker to help you when you want to remortgage a property. We have access to thousands of mortgage options, some of which are only available through a broker like South Manchester Mortgages.
Why Remortgage?
Remortgaging means moving your mortgage from one lender to another to get yourself a better deal. And you don’t even have to move house to do it. There are many reasons why remortgaging could make sense for you:
- You just want a better deal with a lower interest rate.
- You need a more flexible deal with additional payment options.
- You’ve come to the end of your initial Fixed Term deal.
- You want to consolidate or rearrange all your finances.
- You want to save money on your monthly repayments.
- You want to borrow more to use the money for a project or home improvements.
- You want to use some of the equity in your home rather than take out an additional loan.
- Your current mortgage no longer suits your needs.
- You have inherited some money and wish to reduce the amount you have borrowed.
- Your credit rating has improved so you may get a better deal.
Think carefully before securing other debts against your home.
You may have to pay an early repayment charge to your existing lender if you remortgage.
Getting a Mortgage or Agreement in Principle
We recommend that we get you a Mortgage in Principle (MIP) or an Agreement in Principle (AIP). This provisionally lets you know how much you can borrow. An Agreement or Mortgage in Principle is an important step in applying for a remortgage. It gives an indication of whether a lender could lend you the amount you need to borrow. Lenders use a soft credit check to do this, which has no impact on your credit file. The process is relatively speedy and requires some personal information, including details of your income and financial commitments, this information is used in the strictest confidence. Getting an Agreement/Mortgage in Principle does not mean you are committing to apply to that lender for a mortgage. However, once you have one, you’ll be ready to discuss all the options we can offer. We do not charge for this service.
Adverse Credit History?
A poor credit rating can be a major barrier to getting a remortgage, but the good news is, there are lenders who are prepared to help those whose applications may be refused elsewhere. It might not seem fair but even having a big deposit in place and a decent salary isn’t enough to guarantee you a mortgage. If you have a bad credit score, then your application is likely to be refused. Banks and building societies are cautious about who they lend to, so they always check credit reports carefully to see if potential mortgage customers have defaulted on any debt payments in the past. They will also look for any County Court Judgments (CCJs) against you, or if you have ever filed for bankruptcy.
If any of these scenarios apply, the chances are you won’t be eligible for most mortgage deals – even if your financial problems occurred a long time ago. There are some mortgages however, which are specifically designed for those whose credit history is far from perfect. These are often known as sub-prime mortgages or adverse credit mortgages, and are generally offered by lenders specialising in this market.
Mortgage, Life & Home Insurance Specialists
Helping you have the home you want… protecting what matters to you most
Call 07791 533122 or email: info@southmanchestermortgages.com