Jason Jones asked:


A remortgage is a second mortgage which is taken out on a house that you already live in that has equity in it. Remortgages usually pay off your previous mortgage and leave you with money to spend as you want, and there are various reasons for doing this. Some people find that a remortgage is the best solution for them if they have outstanding debts that they want to clear and be left with one payment per month. Or a remortgage might be obtained to do home improvements or even buy a new car. Whatever your reason for wanting to remortgage your property you need to find out about the best remortgage deals around.

Where can I find a good remortgage deal?

There are various ways of finding out about remortgages and the best deals available to you. If you have the time you could go round lenders and make appointments to speak to them, this is time consuming though and you could waste a lot of your time. Another option is to telephone lenders and speak to them on the phone, once again this is very time consuming and it also will end up costing you money for your phone bill.

You might be surprised to know but you will find the best mortgage deals online. There are several reasons why looking for the best mortgage deals for you online is not only easy but faster than the more traditional methods. You need to be aware however that in order to apply for a remortgage you will have to eventually speak to the lender direct.

Why go online for the best mortgage deals?

If you use an online service to help you find the best mortgage deals you will be cutting out the middleman. You won’t have to go to endless appointments where each lender will try to sell you their remortgage package, or even to be told that you don’t fit the criteria for a remortgage and find your journey has been wasted. What could be easier than sitting in the comfort of your own home looking for the best remortgage options available to you?

Using an online service can help you in many ways, what follows is a list of benefits of going online for your search:-

• Help in finding a lender. You can search many different lenders at the same time using online tools, this not only saves you time but allows you to compare the lenders that would be willing to remortgage your property.

• Cashback. Many remortgage deals that have been applied for online and are successful offer the borrower a cashback incentive. This can be as high as £100 and is paid to you on completion of your remortgage.

• You can act as your very own mortgage broker. This gives you the opportunity to browse various remortgage deals online and see which is the best for you. There is no time limit for you to do this in and you can do as much research as you like on the remortgages on offer to find the one that suits you the best. By doing this you are not having to pay any broker fees, so you save more money.

• Online Remortgage Services can also give you the benefit of using an online remortgage calculator, these are tools in which you input things such as how much you want to borrow, the value of your house, how many people are looking to remortgage and other financial information. The calculator will then work out for you how much you could be able to remortgage for.

So if you are looking to remortgage your property check out the best remortgage deals online. You can save money, time and most importantly be in control of your remortgage.



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michael sterios asked:


Unlocking equity that has built up in a property can be achieved through a number of means including remortgages.

Remortgages are carried out by home owners who want to release the equity in their home and apply for a new mortgage at the same time. Remortgages can either be carried out with the same mortgage lender that the borrower has their existing mortgage with, or with a different lender altogether.

All remortgages that release equity will result in the balance of the new mortgage being higher than the balance of the old mortgage. The old mortgage is paid off with the funds from the remortgage and the excess is given to the borrower and will represent the amount of equity that has been released.

While remortgages are extremely popular in the UK, there is an alternative method of equity release that will not require the home owner applying for a new mortgage and redeeming their existing one.

Second mortgages are a popular and effective alternative to remortgages. Second mortgages are also known as secured loans and are loans that are secured against the equity in the borrower’s home.

Instead of applying for a brand new mortgage, the borrower will keep their existing mortgage and secure a second mortgage against the releasable equity in their property. As opposed to remortgages, second mortgages must be issued by a different lender to the lender that issued the existing mortgage.

Both remortgages and second mortgages options have advantages and disadvantages.

Because second mortgages are similar to personal loans in that they are issued for a shorter term than remortgages, they can be the most sensible option when the finance is required for a short period of time.

However, remortgages can involve paying large application and brokerage fees. The longer the time period you stay with the mortgage the more value you will receive out of paying for those fees.

Second mortgages usually incur smaller fees than remortgages. There is no need, therefore, to keep the second mortgage active for a long period of time to gain some pay-back from any fees that may be incurred in securing the loan.

Some second mortgages also offer facilities such as a cheque book and ATM card for draw downs, and a deposit book for making repayments.

Not all second mortgages offer such options so it is advisable to shop around if you require them. Also keep in mind that extra fees may be incurred so ensure that you actually require the extra facilities before signing on the dotted line.

If you require any advice on remortgages, contact an independent mortgage adviser for help.



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