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By Pete Mugleston   Mortgage Advisor

Last updated: 12th July 2018 *

Have a look through the whole market below to compare today’s best mortgage rates. This is the system professional mortgage brokers use to search the entire market, including both the broker exclusive and lender direct deals (something most comparison sites, most brokers, and all banks won’t show you). Read our article here for more on what makes a good broker.

How to get the best remortgage deals

It’s important to remember that remortgage rates aren’t the be all and end all. Comparison tables will offer you the best rate, but won’t usually indicate the best deal for you. Like our remortgage guide outlines, you need to factor in the total cost. There’s little point in taking a 2% 2 year rate with a £2,000 fee when you’re borrowing just £50,000, if there’s a 3.5% deal with no fee. From this example, borrowing 50,000 would make the higher rate much better (almost £1,000) over the initial period and would be recommended over the lower rate…

Mortgage balance Rate Term Monthly cost Total 2 yr cost
50,000 2% 25 years 212 7,088
50,000 3.5% 25 years 250 6,000

Figures are approximate. For exact calculations specific to you please make an enquiry and we will put you in touch with a specialist who can provide you with a tailored key fact illustration.


So when does it become worth paying a fee to remortgage?

This really depends on your specific situation, namely; the amount you’re borrowing, the amount of equity in your property, which products you’re eligible for, and of those – which are the best fee free and fee loaded deals going, plus is there any other incentive (such as cash-back or other free stuff).

Using the same example as before, below is an illustration of how to compare the deals to work out which is best for you. When comparing 2% + £2k fee, and 3.5% with no fee, you’d need to be borrowing around £115,000 to pretty much break even, so borrowing more than this should usually make it worthwhile. As you can see from the table below - taking the 2% deal on a mortgage of £200k would benefit the borrower more than £1,500 over the 2 years.

Mortgage balance Rate Term Monthly cost Total 2 yr cost
115,000 2% 25 years 488 13,712
115,000 3.5% 25 years 575 13,800
200,000 2% 25 years 848 22,352
200,000 3.5% 25 years 1002 24,048

Figures are approximate. For exact calculations specific to you please make an enquiry and we will provide you with a tailored key fact illustration.

If you want an advisor to do the remortgage quote and establish the best deals for you then either make an enquiry, give us a call on 0800 304 7880 or get a mortgage agreed in principle today...


Updated: 12th July 2018
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FCA disclaimer

*Based on our research, the content contained in this article is accurate as of most recent time of writing. Lender criteria and policies change regularly so speak to one of the advisors we work with to confirm the most accurate up to date information.

The info on the site is not tailored advice to each individual reader, and as such does not constitute financial advice. All advisors working with us are fully qualified to provide mortgage advice and work only for firms who are authorised and regulated by the Financial Conduct Authority. They will offer any advice specific to you and your needs.

Some types of buy to let mortgages are not regulated by the FCA.

Think carefully before securing other debts against your home. As a mortgage is secured against your home, it may be repossessed if you do not keep up with repayments on your mortgage. Equity released from your home will also be secured against it.


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