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Read our article to learn more about conveyancing when going through the remortgaging process, and 10 steps your conveyancer will complete, when remortgaging your property.
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Remortgaging is the process of switching from one mortgage supplier to another. Even though you’re not moving house, when you remortgage, you will need to instruct a conveyancer. Your remortgage conveyancer will carry out the legal work on your remortgage including making updates to the title deeds and land registry.
In this article:
You don’t always need a conveyancing solicitor when you remortgage. If you stay with your current lender, by simply moving to a new rate or deal, this is called a ‘product transfer’ and requires no additional legal work. This is because all of the mortgage details that the Land Registry need, remain the same.
You can choose a product transfer when your mortgage deal comes to an end. If you do not remortgage with another lender or choose a product transfer with your current lender you may be moved to your lender’s standard variable rate (SVR), it is important to be aware that this rate is usually higher.
Same Lender: Unlike remortgaging, which involves moving to a new lender, with a product transfer you remain with your current lender.
New Mortgage Terms: You will need to select a new mortgage product, typically a fixed-rate, tracker, or discount rate deal. The terms may be better or more suited to your financial situation compared to the SVR.
No Property Valuation or Legal Work: Since the lender remains the same, there's no need for a property valuation or legal work, making the process quicker and less costly compared to remortgaging.
Eligibility: You will still need to meet the lender’s criteria for the new mortgage product, this might include a review of your credit status or current financial circumstances.
Potential Costs: While some lenders offer free product transfers, others might charge an arrangement fee or other administrative costs.
Flexibility: A product transfer can often be arranged relatively easily, sometimes even online or via a phone call.
Interest Rate Considerations: The rates available on a product transfer might not be as competitive as those offered by other lenders, so it’s best to consider remortgaging as well.
Simplicity: It’s less paperwork and generally quicker than remortgaging.
Cost Efficiency: No legal fees or valuation fees are typically required.
Loyalty Perks: Some lenders offer better deals to existing customers through product transfers.
It's always advisable to compare the product transfer offers with what other lenders might offer through a remortgage to ensure you are getting the best possible deal.
If you are changing mortgage providers, due to the legal work involved, you will need to instruct a conveyancer. They will ensure that your new mortgage is registered against the legal title of your house with the Land Registry.
Many lenders will offer a free legal package with their remortgage deals, meaning their chosen conveyancer will carry out the legal requirements of your remortgage. However, you should check this is definitely free! If the lenders package is not free we would recommend getting additional quotes to check their package is competitive.
You will need to appoint a conveyancer if you are adding or removing someone from the mortgage.
If you are adding a friend or partner at the same time as remortgaging this is known as a transfer of equity and requires a conveyancer to amend the deeds and state how the property will be owned.
Removing someone from a mortgage at the time of remortgaging also requires a conveyancer as the ownership of the property is changing and the deeds will need to be updated accordingly.
Get a personalised remortgaging conveyancing quote today to see how much the conveyancing may cost you.
Read below to find out more about conveyancing steps you’ll go through during the process of remortgaging:
Your conveyancer will ask you for proof of ID. It’s important to note that whilst your lender may have done this with you for their own checks, your conveyancer will also need to check your ID to comply with their own regulations and compliance under anti money laundering laws.
They’ll gather details of your current mortgage, particularly a redemption statement. This will tell them what amount is outstanding, whether there are any early redemption or early exit fees and when these will expire.
If your property is leasehold, your conveyancer will check the terms of the lease and the term remaining on it to make sure it’s compliant with your new lender’s requirements. They will also contact your landlord/management company to obtain some necessary information and notify them about your existing and new mortgage.
Some mortgage lenders are happy with taking out indemnity insurance that protects them during the conveyancing transactions when remortgaging a property, however, in some cases, your new lender may want you to conduct searches on your property Taking out searches can make the transaction slower and be more costly, in either case, your conveyancer will take care of the process and inform you of any potential payments.
Your new mortgage lender will value your property and will usually provide you with a copy of the valuation within the mortgage offer. They may also provide this to your conveyancer at the same time.
Your conveyancer will then check through all the fine print and terms on your mortgage offer, raising issues with both yourself and the mortgage lender as they arise.
Once you’re happy with the terms of your remortgage, your conveyancer will need you to sign the new mortgage deed along with any other documents required by your new lender. Try to return these to your conveyancer as quickly as possible, to avoid any delays.
On the day the funds are received from your new mortgage, your conveyancer will use these funds to pay off your existing mortgage.
If any funds are due back to you, your conveyancer will send this balance to you.
Once confirmation is received that your old mortgage has been paid, your conveyancer will update the Land Registry that a remortgage has taken place, as well as providing proof of this to your new lender.
Remortgaging the home you purchase through a Help to Buy Equity loan? This process is slightly more complex, read our full article to understand the process of remortgaging your Help to Buy.
Being simpler than a standard purchase or sale, the remortgage conveyancing process usually has a shorter time frame. The conveyancing process is likely to take around 4-8 weeks. With this being said, as you need to have your new mortgage in place before the end of your current term, you should start reviewing new mortgages and conveyancers around six months prior to the end of your mortgage contract.
When using a conveyancer to remortgage, you will have conveyancing fees to pay. These fees are to cover the work that your conveyancer will complete. The amount can change depending on things such as the value of your property or whether your property is a leasehold or freehold. Conveyancing for the remortgaging process usually costs between £200 - £500, and can include:
| Fee type | Estimated costs | ||
|---|---|---|---|
| Legal fee | £100 - £200 | ||
| Leasehold fee | £100 | ||
| Land registry fee | £20 - £65 | ||
| Official copies | £6 - £42 | ||
| Search indemnity | £30 |
Read our article to find out more about the other remortgaging costs you will have to factor in or get a personalised remortgage quote.
Remortgaging a property that has spray foam insulation can come with challenges. Recently, many mortgage lenders are having concerns about spray foam because of its potential to impact ventilation and roof structure.
This means that having spray foam insulation could limit your remortgaging options or require additional checks to satisfy lenders. To avoid complications, we recommend working with a surveyor who can assess the condition of the spray foam and provide a report that reassures both you and potential lenders.
Get in touch with one of the team
If you would like to speak to your conveyancer, please log in to your eWay account where you can find their contact details.
Log in to eWayMonday - Friday
9am - 5pm
If you would like to discuss a quotation you have received please call our Move Specialists on
0333 234 4425Monday - Friday
9am - 5pm
If you would like to email us, please send it to the following email address:
quotations@myhomemoveconveyancing.co.ukMonday - Friday
9am - 5pm
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