Why Should You Choose A Remortgage Broker?

When you're remortgaging your house you have two options to choose from- you can either go to a bank lender, or you can go to a remortgage broker instead. A lot of people will be more inclined to go to a bank because it's what they're used to dealing with and they feel more confident there, however exploring the possibility of using a remortgage broker could be a very fine option for some and also be a good financial move.

A remortgaging officer from a bank will be working from their own bank system with a collection of remortgage offers that they have in their company. They will then discuss all the options and the pros and cons of each of them to help you find the one that are best for you. A broker on the other hand will not be limited by just one company's products- they will search around through a variety of different lenders and work on your behalf to find you the best possible remortgage for your home. They will also work hard with customers who have a bad credit history or have a complicated situation that a normal remortgage specialist in a bank would find difficult to deal with.

Whilst some brokers will charge a fee for their services this is generally offset against the savings that they find for you when they find you a great brand new remortgage deal. However, when going with a new remortgage broker you should always double check that they are regulated by the FSA.

Article Source: http://EzineArticles.com/5975913

Read more »

Tips When Applying For A Remortgage On Your Home

To make the process that much easier it is advisable to reapply for a remortgage with your existing financial lender, this has it's obvious benefits as all your details will already be in their files which will make filing out another application a much quicker process. In most cases your current mortgage lender will get in touch with you before your present mortgage term expires. And it will be at this time that applying for a remortgage would be more acceptable towards or near the end of your existing mortgage.

It would be unwise to apply for a remortgage if you still have to pay off your current mortgage loan, the best time would be nearing the end of your final payments on your present mortgage. So then your chances of getting a remortgage approved again will be that much better and the process that much quicker.

If you lack the knowledge to apply for such loans then hiring a broker may be in your best interests another advantage is that a broker may have access to products not yet available to consumers.

There are regulations that all brokers must follow, they are laid down in terms and conditions by the financial Services Authority. This meaning that all brokers must follow this code so that consumers get a fair deal. In the past some brokers done deals that financially benefits themselves and not the consumer so when a broker shows you their products make sure it makes financial sense for yourself as well. Carefully read all documents and fine print carefully, don't go making any spur of the moment decisions but rather go over each documentation with your broker and have it explained in simple terms.

Equity can be gained by having a remortgage on your property or any potential real estate. For some people who are renovating their home, money gained from equity can be reinvested back into improving the value of your home or property. This is the best route to take if you are thinking of putting your house on the open market, hopefully to sell and make a profit in the process. The best thing is that equity is money gained from assets in this case your home or property so this shouldn't effect your bottom dollar.

Want to know a little more about home loan remortgages and find how to create a check list? this has it's obvious benefits, so when the time comes to apply for a remortgage you will be well prepared.

Article Source: http://EzineArticles.com/4895910

Read more »

Remortgage - Why You Should Consider a Remortgage Now

To some people, remortgaging might seem as a no-brainer. This is especially so if they have a good chunk of equity on their homes. However, saving money with a lower mortgage shouldn't be the only thing you consider.

There are many more factors you should consider when it comes to a remortgage such as costs to remortgage and the situation of your personal living. This article will explain some of the things you should check before making any move.

The period you intend to stay in your house If you intend to move to another house in the next few years, it would be wise to keep your current mortgage. This is because chances are that you won't have time to recover the cost of the remortgage before you move out and sell the house. However, if you intend to live in it for a long period, a good idea would be to remortgage.

Date to retirement
If retirement is just around the corner, you would be better off taking a short term loan. This one is given at lower rates than the long term ones and you will have enough money to last you through your retirement.

Predictability
If you plan to stay in your home for an extended period of time, a fixed rate mortgage would be a good way to go. This is so because even if the remortgage payments are not lowered, you won't have to worry about them increasing since there is security with fixed rates.


The cost of remortgaging
Your remortgage may be offered to you with points and fees. Learn about your lenders cost of remortgaging by checking out their Good Faith Estimate and make an application. These points and fees may add up to thousands of dollars. You may find fees and points for loan origination, application, appraisals, escrow, inspection discount points and mortgage insurance. You also have a choice to picking a higher interest rate which may lead to the lender absorbing some of the cost sometimes all of it.

Cash-Out Refinance
Some people do cash-out refinancing to pay the credit card debts. They do this because it sometimes saves on taxes and the rates are lower. There is however a downside to this strategy. At first, your debt is dischargeable in bankruptcy and unsecured but once you do the cash-out remortgaging, the whole thing is no longer dischargeable and is now secured by your home.

Taking all the remortgage tips you can before you make any move will help you make wise decisions and save a lot of money and time.

Article Source: http://EzineArticles.com/5189516

Read more »

Top Tips For Finding Best Remortgage Deals

What Does Remortgage Mean?

In straightforward, when you remortgage you will shift your mortgage from one lender to another one with the objective of getting a better deal. Remortgaging is a huge market, with around one-third of all home loans in the current market being for remortgages.

Why Should I Remortgage?

Everything that can lessen your outgoings has to be a good thing and by remortgaging your property at a reduced rate you could save yourself a fortune. For many of us, the money we pay to our mortgage lenders is our biggest monthly outgoing so, surely, it makes sense to take all possible steps to improve it. You almost certainly shop around for other household appliances for example electrical goods and beds so why should your mortgage be any different?

There are a couple of other reasons for remortgaging too: moving up the property ladder could be just the perfect time to change lenders; your financial position might have undergone important changes - an inheritance or change of job, for example; you could be the subject of an endowment mortgage that won't cover your mortgage; you are overloaded with debts and would like to consolidate them all into a solitary mortgage loan. It can be emphasized strongly enough, however, that that last alternative should only be used as a last resort|final option|final resort|last option.

Why Shouldn't I Remortgage?

If shopping around proves that you already have the mortgage deal made in heaven - stay put! The contrary is also true - if you have signed a mortgage agreement that makes moving legally complex or expensive - or both - you're probably best advised to wait. And finally, in the present market, if you need to borrow more than 75% of the purchase value of your home you are not certain to find a lender.

What Difference has the Credit Crunch Made to the Mortgage Market?

The present low interest rates mean that, if you're on a Standard Variable Rate (SVR) mortgage, you are almost certainly better staying with your current lender, however, it is always better to shop around.

Having been bitten in the behind by their shockingly free and easy ways with money, lenders are now much more selective when it comes to selecting their customers. Before any lender accepts you as a client they will want to reassure themselves as to your credit-worthiness, so unless you have a spotless payment account, your chances of remortgaging your property aren't as good as they would have been a couple of years ago.

You should be aware too that your present lender is likely to charge you an exit fee and the new one is likely to charge you a management fee. Then there are the legal bills... We have to say, whilst remortgaging may be the most positive move you ever make, it is one that requires careful deliberation.

Making the Right Mortgage Choice

The correct mortgage for you might not be the correct mortgage for your colleague - choosing the best mortgage is reliant upon current circumstances. The important choice to be made is between an interest only mortgage and a repayment mortgage; probably the best advice is to opt for a repayment mortgage but this isn't always true. However, you will need to be a very wise risk-taker to make an interest only mortgage a good choice.

If truth be told, there are far too many mortgage options available to discuss in one small article but there are myriad online sites designed to help you find your preference.

We strongly recommend that you consult a licensed mortgage broker who is not linked to a select group of lenders. And before signing anything, do find out what their rate is!

Making the Move

If you come to the decision to do the work yourself, specifically, without going through a broker - these are the fundamental steps to remortgaging your property:

1) Obtain a redemption code from your lender

2) Ask for quotes from the new lender

3) Make certain you add both sets of fees to arrive at the full cost

4) Work out how much you stand to save - then review whether it's sensible moving lenders or not

5) Send an application to the new lender

6) Your property will be surveyed and valued; legal works will commence.

7) Completion will be in six to eight weeks.

Article Source: http://EzineArticles.com/4006014

Read more »