Remortgaging means you move from one lender to another while staying in the same home. There are a number of ways in which it may help you.
You may be able to reduce your monthly mortgage payments by taking out a new mortgage with us at a lower rate than your current rate. Even a small change in the interest rate you pay could result in savings over time.
You can use the equity in your home to borrow more money for a number of things such as home improvements or a new car. Just remember, increasing the size of your mortgage will mean your monthly payments may go up.
You may want to change your mortgage for any number of reasons. Perhaps you’ve come into some money and you want to pay off some of your mortgage or you have an interest only mortgage which you want to change to a repayment mortgage.
If you’re thinking about remortgaging, make sure you think about what you want from your new mortgage. Remember also that moving your mortgage from your current provider may incur charges like an early repayment charge and exit fee.
If you’re tied into a deal with your current lender, you may need to pay an early repayment charge to get out of the deal early. It’s normally a percentage of your mortgage and you can normally find it in your mortgage offer or annual mortgage statement. If you can’t find it speak to your current lender who will be able to help.
Some of our mortgages don’t have a product fee. If you choose one that does, you can normally add the fee to your mortgage, but it’ll mean you’ll pay interest on the product fee unless you pay it off within 21 days of completing your mortgage.
Most of our mortgages have a free standard valuation (on properties valued up to £2.5 million) to make sure the property is worth the amount you’re paying for it.
You need a solicitor/ licensed conveyancer to help with the legal aspects of remortgaging. For most of our mortgage deals we’ll pay your standard legal fees. You’ll have to pay them back if you pay off your mortgage within 2 years.
This is charged by us for providing and administering your mortgage. You can pay it when your mortgage completes or the end of your mortgage, either way you’ll pay the same amount.
This is a brief summary of the 3 different types of mortgages we offer
|Fixed rate||Tracker rate||Lifetime Tracker|
People who want an exact idea of what they’re going to have to repay for the next few years.
You can usually fix your deal for 2, 3 or 5 years. During this fixed period your monthly payments will stay the same. After your fixed period you’ll move onto the Santander Follow-on Rate (variable). If you want to finish your deal earlier you may pay an early repayment charge.
People who think interest rates will stay low over the next few years or want to make unlimited overpayments on their mortgage.
You can choose a mortgage with an initial rate period and during this period your rate tracks above the Bank of England base rate. With this type of mortgage your payments may vary. The initial rate period is usually 2 years and after that you move onto the Santander Follow-on Rate (variable).
People who don’t want to ever look for a new mortgage deal again or want to make unlimited overpayments.
With a Lifetime Tracker mortgage your rate will track above the Bank of England base rate for the life of your mortgage term. With this type of mortgage your payments may vary.
The graphs are for illustrative purposes only.
For an in-depth comparison of the mortgage types on offer read our guide to mortgages
Your monthly payment covers both the amount you’ve borrowed and interest. So as long as you keep up your payments, your mortgage will be paid off at the end.
Your monthly payment only pays off the interest. You’ll still need to repay the amount you borrowed at the end of your mortgage and will need a separate plan in place to do this (such as an investment or endowment). We may limit the amount allowed on interest only.
You can choose to pay part of your mortgage as repayment and the other part as interest only.