Can you change mortgage providers

How does remortgaging work? Reducing your loan-to-value to get a better rate Remortgaging to get a better interest rate Remortgaging for more flexibility Remortgaging to consolidate debt Check the market for mortgage deals. Why should I remortgage? Want to feel more in control of your finances?

When should I remortgage? Could you save? So, how can you work out if remortgaging really is getting you a better deal? Remortgaging examples. Mortgage loan amount. Term of loan. Interest during fixed period. Arrangement or product fees. Total cost of mortgage over year term. Total interest charged over year term. Total monthly payment. Cost of mortgage over five-year fixed period including interest.

Table scroll. Check the costs. Before you switch, be sure to check out the costs. Learn more from our guide on Mortgage-related fees and costs. Back to top. Reducing your loan-to-value to get a better rate. How to calculate your loan-to-value. Multiply the result by Check whether your property might have risen in value on Zoopla Look for similar properties for sale in your postcode on Rightmove Use the Nationwide house price index calculator.

Remember to check associated fees and costs. Remortgaging to get a better interest rate. When you take out a new mortgage, you normally get an introductory deal. Introductory deals normally last for between two and five years.

See our blog Interest rates - What homeowners can do now to beat a rise. Remortgaging for more flexibility. Find out more in A guide to mortgages with special features. Remortgaging to consolidate debt. Is your household income getting squeezed? Check you are receiving all the benefits or grants you might be entitled to. Instead of adding your debt to your mortgage, try to prioritise and clear your loans separately. Find out more in our guides: How to prioritise your debts Help if you're struggling with debt.

Check the market for mortgage deals. It's also important to do some research into the type of product and features you need before making a purchase or changing supplier. Learn more about How to find the best deals for gas and electricity and financial products on price comparison websites.

Get advice. Find out more in our guide Mortgage advice: should you use a mortgage adviser? Was this information useful? Yes No. Thank you for your feedback. Share this article. Email Facebook Twitter. More options. Share this with. WhatsApp LinkedIn. Explore this topic Close Buying a home. Remortgaging and switching your mortgage How does remortgaging work?

Explore this topic Close Remortgaging and switching your mortgage How does remortgaging work? Tip: If refinancing makes sense for your financial situation, know that you can work with the loan officer who originated your loan. Ready to change mortgage providers? Refinance to move your home loan to a new lender. Mortgage Basics Search.

Why is that? How to change mortgage loan servicers Now for the direct answer. We know that switching providers is often the best option, but there are a number of things to consider before you can do so.

If another lender can offer you a lower mortgage rate than what your current mortgage provider has, switching would save you from having to pay potentially thousands of dollars in interest charges. Your current lender offers to renew you for a 5-year term at a fixed rate of 2. However, you decide to shop around and find another lender who offers you a 5-year term at a fixed rate of 2. If another lender can offer you better terms and conditions, it may be worth switching your mortgage over to them.

One of the most important terms and conditions to consider is your prepayment options. If a new lender can offer you better prepayment options than your current mortgage provider, switching could help you pay down your mortgage sooner and save you from having to pay additional interest costs.

For example, most lenders let you increase your monthly mortgage payment amount once each year, but the amount you can increase it by often varies from lender-to-lender. Remember that you'll need to provide documentation such as: Proof of identity: such as a copy of your passport. Proof of address: such as a recent household bill in your name. To be accepted most bills will need to be dated within the past three months.

Proof of your income: including your latest P60 and at least three recent pay slips. Evidence of any savings you might have. Employment status: your new lender will want information and proof as to what type of employment contract you are on. For example, permanent, contract, full-time, part-time etc. In other words, it's a bit like submitting a new mortgage application.

House valuation. You'll need to get an up-to-date professional valuation of your home. This is so that your new lender knows how big your mortgage is in relation to the value of your home and therefore how much equity you have. The more equity the better. The legal bit. You will need to get a solicitor on board to take care of conveyancing and any legal documents.

Make sure you ask about any cashback incentives as many lenders offer money to help cover the legal costs of switching. In general the legal fees for switching mortgage are less than the fees for first-time buyers. Mortgage protection.