Before You Start: Timing and Preparation
The ideal time to start thinking about remortgaging is three to six months before your current deal ends. Many lenders let you secure a new rate up to six months in advance, protecting you against potential rate increases while your application is processed.
Start by gathering key information about your current mortgage: your outstanding balance, remaining term, any early repayment charges (ERCs), and when your current deal expires. Check your property's estimated value using online tools, and review your credit report for any errors that need correcting before you apply.
Documents You'll Need
Having your documents ready speeds up the application process considerably. Most lenders will require:
- Proof of identity: Passport or driving licence
- Proof of address: Recent utility bill or council tax statement
- Proof of income: Last three months' payslips and your most recent P60
- Bank statements: Typically the last three to six months for all accounts
- Details of existing mortgage: Your latest mortgage statement
- Details of other debts: Credit cards, loans, and any other financial commitments
If you're self-employed, you'll also need two to three years of accounts or tax returns (SA302 forms) and a tax year overview from HMRC. Some lenders accept one year for contractors with steady income.
The Application Process Step by Step
Once you've chosen a deal — either directly with a lender or through a broker — the process follows these stages:
- Agreement in principle: A preliminary check confirming the lender is likely to approve your application
- Full application: You submit your documents and the lender carries out detailed checks
- Valuation: The lender arranges a valuation of your property (sometimes a desktop valuation for remortgages)
- Mortgage offer: If everything checks out, the lender issues a formal offer
- Legal work: A solicitor or conveyancer handles the legal transfer of the mortgage
- Completion: Your new mortgage replaces the old one
The entire process typically takes four to eight weeks from application to completion, though it can be faster for straightforward cases, especially product transfers with the same lender.
Final Checks Before Completion
Before your remortgage completes, verify that all the details are correct on your mortgage offer, including the interest rate, term, monthly payment, and any product fees. Check whether any fees have been added to the loan balance and understand the implications of this.
Ensure your buildings insurance is in place and meets the new lender's requirements. If you're switching to a different lender, check whether your direct debit needs updating. Finally, confirm the completion date with your solicitor and make sure there are no outstanding queries that could cause a last-minute delay.
Important: Your home may be repossessed if you do not keep up repayments on your mortgage. There will be a fee for mortgage advice. The actual rate available will depend on your circumstances. Think carefully before securing other debts against your home.