Why Re-mortgaging Matters Now More Than Ever
This year, a significant number of UK homeowners will face mortgage renewals. According to recent data from Moneyfacts, over 1.3 million mortgages are set to come to the end of their initial deals in 2025 alone. This makes now one of the most important times to take a fresh look at your mortgage options.
Many people automatically stay with their current lender when their deal ends but this could be costing thousands of pounds over the lifetime of their mortgage. Research by Which? has shown that switching mortgage deals can save borrowers an average of £1,500 to £3,000 a year. For some, the savings could be even higher depending on their loan size and rate changes.
And with ongoing cost of living pressures from higher energy bills to rising food and fuel prices keeping more of your money in your pocket has never been more important. Every pound you save on your mortgage is a pound you can put towards other essential expenses, home improvements, or your family future.
Knowing When to Start the Re-mortgage Process
Timing is key when it comes to re-mortgaging. Starting the process too late can mean missing out on the best deals, even having to default onto your lender’s expensive standard variable rate. That’s why staying informed and prepared is crucial.
Tools like RF MM help you monitor when your mortgage deal ends and alert you when it’s the right time to start looking for new options. Signing up is quick and free keeps you one step ahead, so you never miss a better deal.
What Re-mortgaging Really Means for You
Re-mortgaging isn’t just about a cheaper interest rate (although that’s a big part of it). It’s about taking stock of where you are today — and where you want to be. Are you planning home improvements that require additional borrowing? Are you starting or growing your family, meaning your financial priorities and risk tolerance might have changed? Or are you considering selling your property in the medium term?
These life changes mean your mortgage needs to be flexible and tailored to your circumstances. When you re-mortgage, you can:
Access better interest rates and reduce costly fees
Adjust repayment terms to suit your budget and timeline
Borrow additional funds for home improvements or other goals
Review and update your mortgage protection and life insurance to ensure your family’s needs are met today and into the future
How Savings Can Shorten Your Mortgage Term
If your able to save money by securing a better rate, you don’t necessarily need to keep those savings in your monthly budget you could use them to shorten your mortgage term instead.
For example, if you’re saving £150 a month on repayments, you could keep your payments at the same level you’re used to, but on a shorter term. This reduces the total amount of interest you’ll pay over the life of the mortgage and can help you become mortgage-free years earlier. Your adviser can model these scenarios for you so you can see exactly how much time and interest you could save.
How Advice Can Maximise Your Benefits
The mortgage market is more and complex than ever before. Navigating it alone can be overwhelming & costly if you miss better options. This is where expert advice becomes invaluable.
A professional mortgage adviser will:
Assess your current financial situation and plan
Review the whole market, not just your current lender’s offerings
Recommend the mortgage product that best fits your short, medium, and long-term goals
Help you understand how your insurance needs should evolve alongside your mortgage
This tailored approach ensures you don’t just switch for the sake of it, make a well informed choice that supports your financial security and lifestyle.
With so many mortgages coming up for renewal this year, it’s crucial not to simply stick with your current lender by default. Re-mortgaging is about aligning your mortgage with your evolving life savings money, gaining flexibility, and ensuring your family is protected.
Don’t let an automatic renewal cost you thousands. Seek expert advice, explore your full range of options, and make sure your mortgage works for your life today and tomorrow.
If your mortgage deal is coming to an end or you want to review your options, get in touch. Let’s explore what’s best for your unique situation and help you secure a better financial future.
To speak to one of our Mortgage Advisers, you can book an appointment directly, or call us on 03301 759 977.