Remortgaging UK 2026 — When to Switch, What It Costs and How to Do It

Remortgage Step by Step UK — Complete Guide to Switching Your Mortgage

How to remortgage your home step by step. When to remortgage, how to compare deals, product transfers vs new lenders, costs, and a timeline of the process.

Mortgage information is general guidance only. Mortgages are regulated by the FCA. YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE. Consult an FCA-regulated mortgage adviser before making decisions.

Remortgaging means switching your mortgage to a new deal — either with your current lender (a product transfer) or a new one. It is one of the simplest ways to save thousands. Here is how to do it.

For the wider cluster covering fixed-rate endings, product transfers, timing, fees and moving-home alternatives, use the main Remortgaging hub.

When to Remortgage

TriggerAction
Fixed rate ending within 6 monthsStart comparing deals now
Already on SVR (standard variable rate)Remortgage urgently — SVRs are usually 6.5%–7.5%
Rates have dropped significantly since your fix startedCalculate whether savings outweigh any ERCs
You want to borrow more (home improvements, debt consolidation)Remortgage to a new larger loan
Your circumstances have improved (higher salary, lower LTV)You may qualify for a better rate

Step 1: Check Your Current Deal

CheckWhere to find it
Current interest rateYour mortgage statement or online account
When your deal endsYour original mortgage offer or statement
Early repayment chargesYour mortgage offer document — usually a percentage per year remaining
Outstanding balanceYour latest statement or online account
Current property valueCheck Zoopla, Rightmove estimates, or similar
Current LTV (loan-to-value)Balance ÷ property value × 100

Example: £180,000 mortgage on a property worth £300,000 = 60% LTV. This puts you in a strong position for the best rates (below 75% LTV is the key threshold).

Step 2: Compare Your Options

Product Transfer vs New Lender

FactorProduct transfer (same lender)New lender
Speed1–2 weeks4–8 weeks
ValuationUsually not neededRequired (often free)
SolicitorNot neededRequired (often free with remortgage deals)
PaperworkMinimalFull application
Income checksSometimes reducedFull affordability assessment
RateCompetitive but may not be the cheapestAccess to whole market
Best ifRate is competitive, you want simplicityAnother lender offers a meaningfully better rate

Rate Comparison Example

OptionRateMonthly payment (£200k, 25yr)Total over 2 years
Stay on SVR (7.0%)7.0%£1,414£33,936
Product transfer (4.2%)4.2%£1,079£25,896
Best remortgage deal (3.9%)3.9%£1,048£25,152

Difference between SVR and remortgaging = ~£8,000+ over 2 years.

Step 3: Decide — 2-Year Fix, 5-Year Fix, or Tracker?

Fix lengthBest ifTypical rate (March 2026)
2-year fixYou believe rates will fall further — lets you remortgage sooner~4.0%–4.3%
5-year fixYou want certainty and stability~3.8%–4.1%
TrackerYou want to benefit from base rate cuts, can afford fluctuationsBase rate + 0.5%–1.0%
10-year fixYou want maximum stability~4.0%–4.5%

Related: Mortgage Rate Predictions 2026

Step 4: Get Advice

OptionCostWhat they do
Whole-of-market mortgage broker£0–£500 (many are free — paid by the lender)Compare 12,000+ products, handle the application, chase the lender
Your bank/lenderFreeOnly shows their own products — limited choice
Comparison websitesFreeGood for initial research but don’t handle the application

Recommendation: Use a whole-of-market mortgage broker. Many charge no fee (they’re paid commission by the lender). They compare the whole market including exclusive deals, and handle the entire process.

Step 5: Apply

Documents Needed

DocumentDetail
Proof of IDPassport or driving licence
Proof of addressUtility bill or council tax bill
Income proof (employed)3 months’ payslips, latest P60
Income proof (self-employed)2–3 years’ SA302 + tax year overviews
Bank statements3 months
Current mortgage statementLatest statement showing balance
Details of debtsCredit cards, loans, car finance

Application Process

StepWhat happensTypical timing
Submit applicationBroker sends to lender with documentsDay 1
Lender processingCredit check, income verification, affordability1–3 weeks
ValuationSurveyor values your property (often automated for remortgages)1 week
Mortgage offerLender issues formal offerWeek 3–5
Legal workNew lender’s solicitor handles the transferWeek 4–8
CompletionNew mortgage replaces old oneWeek 6–8

Step 6: Completion Day

What happensDetail
New lender pays off old mortgageYou don’t need to do anything
New payments beginUsually from the 1st of the following month
Old direct debit cancelledYour solicitor/new lender arranges this
New direct debit startsSet up during the application process

Costs of Remortgaging

CostAmountOften free?
Arrangement fee (new lender)£0–£999Some deals have no fee
Valuation£250–£500Often free on remortgage deals
Solicitor/conveyancer£300–£500Often covered by new lender as cashback
Deeds release fee (old lender)£50–£100Sometimes waived
Broker fee£0–£500Many brokers are free
Early repayment charge (if still in deal)1%–5% of loanOnly applies if within your fixed/tracker period

Should You Add the Fee to the Loan?

OptionMonthly cost on £200k loanTotal cost over term
Pay £999 fee upfront£0 extra/month£999
Add £999 to loan (25yr, 4%)~£5.27 extra/month~£1,581

Adding the fee to the loan costs more long-term due to interest. If you can afford to pay upfront, do so.

Special Situations

Remortgaging to Release Equity

DetailInformation
What it meansBorrowing more than your current outstanding balance
Common reasonsHome improvements, debt consolidation, helping children with a deposit
LTV impactIncreases your LTV — may push you into a higher rate bracket
Affordability checkLender must be satisfied you can afford the larger loan
Debt consolidation warningYou’re secured short-term debt against your home — if you can’t pay, you risk losing your property

Remortgaging on a Low Income or Changed Circumstances

SituationOptions
Income has dropped since original mortgageMay struggle to pass a new lender’s affordability test
On maternity/paternity leaveSome lenders only count SMP — you may not pass affordability
Recently self-employedMay need 2+ years of accounts
Product transfer may be betterYour current lender often applies lighter affordability checks

Remortgaging with Bad Credit

SituationImpact
Missed mortgage paymentsSignificantly limits available lenders
CCJs or defaultsMany mainstream lenders will decline
OptionsSpecialist lenders, product transfer with current lender
RatesHigher than standard — but still likely better than SVR

Related: Buying a House with Bad Credit

Remortgage Checklist

StepActionDone?
1Check when your current deal ends
2Note any early repayment charges
3Check your current LTV
4Contact a whole-of-market broker 6 months before deal end
5Compare product transfer vs new lender rates
6Gather documents (payslips, bank statements, ID)
7Submit application
8Chase any outstanding queries promptly
9Consider overpaying on new deal if affordable

aliases:

  • /mortgages/remortgaging/remortgage-step-by-step-guide/

Your home may be repossessed if you do not keep up repayments on your mortgage. PocketWise provides information and guidance — we do not offer financial advice. Seek independent mortgage advice before making decisions about borrowing.

Sources

  1. FCA — Remortgaging
  2. MoneyHelper — Remortgaging