Switching Mortgage Provider

When you switch from one mortgage deal to another, it’s known as remortgaging. You can remortgage your property with the same mortgage provider or a different one – and it could save you money.

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We can help you find out whether switching mortgage lenders is right for you depending on your current circumstances and goals.

You may want to extend your term, switch to interest only, release some equity or just switch to a more competitive rate.

Our role is to understand your goals and match you with the most suitable lender where you fit their criteria.

We’ve helped lots of people switch their mortgage provider

Remortgages - What You Need To Know

Taking out a mortgage or buying a home is such an exciting time, but it does come with responsibility. As time goes on circumstances change and you may not be getting the most from your existing mortgage. That is why you might be thinking about remortgaging. 

Finding a suitable remortgage rate and completing the application process can be challenging without the guidance of an expert broker. However, when done correctly, it can be very beneficial.

Why Should I Remortgage?

A remortgage is when you apply for a new mortgage for a property which is already yours. This mortgage will replace the existing one or can help you borrow money against your property. 

Remortgaging is a suitable option when:

  • Your current mortgage deal or discounted mortgage rate is about to end
  • You want a better rate than your current rate
  • The value of your home has increased by a significant amount
  • Your lender does not allow you to overpay
  • The interest rates are predicted to rise, and you want to avoid paying the new ones
  • You wish to move from an interest only rate to a repayment mortgage
  • You want or need to borrow more money.

Improve Your Chances of Getting the Right Remortgaging Deal

Some tips to boost your chances of getting better deals include:

  • Start the remortgaging process at least three months before your current deal ends. Speaking to your mortgage adviser or broker earlier will give them time to search for the better rates and products most suited to your existing circumstances
  • Check your credit score, close any unused credit cards, avoid payday loans and overdrafts, and ensure to keep up with monthly outgoings
  • Do not remortgage during the initial incentive period of your current mortgage to avoid extra fees
  • Estimate the current value of your property before applying for a remortgage

A specialised broker will be able to tell you all about the tips to secure the most convenient remortgage rates. A remortgage broker can give an overview of the mortgage market and often have exclusive deals with lenders.

What Remortgage Lender Should You Choose?

Remaining with your existing lender but picking a different mortgage rate is called “product transfer” and it is an option. This strategy saves you money on legal fees and having a relationship built with your lender is beneficial. It can give you access to more deals and mean that you do not need to undergo credit checks before remortgaging. 

You may however decide upon moving your mortgage to a new lender. This choice can give you the chance to repay a chunk of your property’s value without considering early repayment fees.

What Fees Will There Be To Remortgage?

The fees that you will have to pay to remortgage will be personal to you and your situation. That is why an expert broker can help to guide and estimate how much you will have to pay. 

Generally, fees include:

  • Arrangement fees
  • Legal fees
  • Valuation fees
  • Early repayment charges (ERCs)
  • Exit fees

How Can a Remortgage Broker Help?

Finding the most convenient remortgaging deals can be challenging. An experienced remortgage broker can help save you time and money whilst ensuring you understand the process. Mortgage Brokers and Financial Advisers also take your circumstances into account when picking the right deal for you. Some brokers already have relationships built with mortgage lenders and can also sometimes offer ‘broker exclusive deals’.


Extend Mortgage Term

Ian Middlemass explains how extending a mortgage term works.

Why would someone want to extend their mortgage term?

We get a lot of enquiries from clients about this. Obviously, if you’re extending your mortgage term, you’ve got a mortgage already. People might want to remortgage because they want to borrow more money, or they want to move to a bigger house and they extend the term then. Or it might be to meet affordability, and make the payments a little bit lower.

At the end of last year we had quite an increase in mortgage rates. People are starting to feel the pinch, which is why enquiries have been driven so high recently. The cost of living has increased, and people’s energy bills have increased threefold or more. The cost of diesel, petrol and food… everything has gone up.

If you’re like me, you’ve probably cut back on things. I’m quite conscious about the electricity that I use, and I’ve reduced how much I put the heating on. People are more conscious about the food that they waste. So everyone is doing a bit.

I’m used to finding people a new mortgage deal where the monthly payments are lower because rates have gone down. Now, I’m delivering bad news, in that payments are going up. A lot of the time it’s not just £50, it’s £200 or £300. On top of the utility bills, food, everything I just mentioned before, people are struggling.

For any mortgage we always do a budget planner in terms of how much people can afford. If you’re going to extend we’ll treat it like a new mortgage, and make sure that you’re doing the right thing – because it’s going to have an effect on other areas.

But yes, it’s possible. It depends on the lender’s criteria, and you don’t want to extend the mortgage term into your pension age. You need to keep it manageable.

How does extending my mortgage term affect my repayments?

Extending is always going to make those repayments cheaper. But the interest element is always going to be the same. So if you extend the term, it’s going to take you longer to pay the loan off as you are reducing the capital by a smaller amount each month.

How long can you extend a mortgage term?

A number of factors would dictate this, including the age of the client and how far they are away from retirement. Some lenders can take you up to a 40 year term. It’s all about doing that budget plan. I wouldn’t want someone to extend my mortgage term because I wanted more money to spend on nights out.

Like any mortgage that we arrange we will do a budget planner and look at how much you spend on things. We will look at that and what would be the best for your budget.

Is it hard to get a mortgage extension?

It isn’t difficult. In the past we’ve said to people that because their rates have gone down, they are saving money, so let’s reduce the term. If they’re happy paying £600 a month, we can keep the payment the same and reduce the length of the mortgage.

Now, it’s the flip side. The mortgage payment is going up by quite a bit, so we can lower that by extending the term. Again, as long as it fits that lender’s criteria, it’s fine.

Is it worth extending a mortgage term?

I’d only extend it if it’s really necessary. It’s not a good idea if you just want more money for takeaways and going out. It’s all about affordability. If you are struggling or think your new mortgage payment is too much, then we can extend the term to bring those payments down.

How can a mortgage broker like Pia Financial Solutions help?

It’s definitely worth speaking to a professional mortgage advisor. The lender you have your mortgage with might not give you the option to extend your mortgage term. We will do a proper budget planner to see if there are other savings we can make.

We go over your budget and how much you spend. Can we save money on your insurance or your bills? Are there other ways to save money before we look at extending the mortgage?


Pia Financial Solutions is a trading name of Pia Financial Services Limited which is an Appointed Representative of The Openwork Partnership, a trading style of Openwork Limited which is authorised and regulated by the Financial Conduct Authority.

Approved by the Openwork Partnership on 21st March 2023.

Talk to our expert advisers to see how we could help you to find the most suitable mortgage for you.