When Is the Right Time to Remortgage Your Home?

If you're approaching the end of your mortgage deal, you could be about to see a significant jump in your monthly payments. Understanding when and how to remortgage can save you thousands. Here's everything you need to know.

What Happens When Your Fixed Rate Ends?

When your fixed rate deal expires, your lender automatically moves you onto their Standard Variable Rate (SVR). In 2025, most lender SVRs sit between 7% and 8.5% — significantly higher than the fixed rates available on the market.

For a £200,000 mortgage, the difference between a competitive fixed rate and your lender's SVR could be £200–£400 per month. That's money you're giving away by not acting.

When Should You Start the Remortgage Process?

We recommend starting 6 months before your current deal expires. Here's why:

• A mortgage offer is typically valid for 3-6 months, so you can lock in a rate now and switch later
• If rates drop further before completion, many advisors can switch you to the better deal
• It gives time to gather documents, compare options, and avoid any last-minute rush
• You avoid the risk of landing on your lender's expensive SVR

Many of our clients are surprised to learn they can secure a new rate months in advance without any commitment.

Product Switch vs Remortgage: Which Is Better?

When your deal ends, you have two main options:

Product Switch (staying with your current lender)

• Faster process (2-3 weeks)
• No legal fees or valuation needed
• Minimal paperwork
• But you're limited to your current lender's rates

Remortgage (switching to a new lender)

• Access to the whole market — potentially much better rates
• Opportunity to borrow more or change your term
• Many lenders offer free legal work and valuation
• Takes 4-8 weeks to complete

Our role is to compare both options for you. Sometimes a product switch is genuinely the best deal; other times, switching lender saves you significantly more. We'll always show you the numbers so you can decide with confidence. Learn more about product switches.

How Much Could You Save?

Savings depend on your current rate, remaining balance, and the deals available. Here are some realistic examples:

• £200,000 mortgage, SVR of 7.5% to fixed at 4.5%: Save approximately £350/month (£8,400 over 2 years)
• £300,000 mortgage, SVR of 8% to fixed at 4.75%: Save approximately £550/month (£13,200 over 2 years)
• £150,000 mortgage, old fix at 5.5% to new fix at 4.25%: Save approximately £110/month (£2,640 over 2 years)

Even modest savings add up dramatically over a mortgage term. We provide free, no-obligation illustrations showing your exact potential savings.

Early Repayment Charges: When Does It Still Make Sense?

If you're still within your fixed rate period, leaving early typically triggers an Early Repayment Charge (ERC) — usually 1-5% of your outstanding balance.

However, sometimes the savings from a new deal outweigh the penalty. For example, if your ERC is £2,000 but a new rate saves you £300/month, you'd recoup the cost in under 7 months and save significantly over the remaining term.

We always calculate this for you and advise honestly — if the numbers don't stack up, we'll tell you to wait.

Can You Remortgage If Your Circumstances Have Changed?

Life changes — and your mortgage options change with it. Common scenarios we help with:

• Become self-employed? — Many lenders accept 1-2 years of accounts
• Income increased or decreased? — We know which lenders are flexible on affordability
• Credit issues since your last mortgage? — Specialist lenders exist for most situations
• Relationship change? — Removing or adding a name requires specialist advice

As whole-of-market advisors, we have access to lenders with different criteria — there's almost always a solution. Learn more about remortgage options.

Releasing Equity When Remortgaging

Remortgaging is also an opportunity to release some of the equity in your home. Common reasons include:

• Home improvements or extensions
• Debt consolidation (rolling high-interest debts into your mortgage)
• Funding a deposit for a buy-to-let property
• Helping a family member with their deposit

Important: While consolidating debt into your mortgage reduces monthly payments, you'll pay interest over a longer period. We'll help you understand the full cost so you can make an informed decision.

What Do You Need to Remortgage?

To speed up your remortgage application, have these ready:

• Last 3 months' payslips (or latest tax returns if self-employed)
• Last 3 months' bank statements
• Current mortgage statement showing your balance and rate
• Photo ID and proof of address