What Is a Remortgage?
In simplest terms, a remortgage is the process of moving your mortgage loan from one company and product to another. The primary purpose of a remortgage is to save money on your monthly payments and on your original home purchase. Because your home is probably the biggest investment you will ever make, it logically follows that finding a way to save money on this investment will make a significant difference in your monthly budget. This is particularly true in an economic climate like the current one, where rates have dropped to about the lowest possible levels.
However, before you contact your lender to find out what your remortgaging options might be, it is important to educate yourself about the remortgaging process and the products available. Remortgaging is not right for everyone, and not every remortgage loan will meet your specific financial needs. By getting savvy to the possibilities in remortgaging, you can find the right product for your budget and save a significant amount of money in the process.