Best Remortgages
By Joe Kocsis
Consider this as a normal mathematical comparison. A 2% saving on a £100,000 mortgage works out at £2,000 per year and assuming that this saving can be made every year by moving the mortgage to another lender, it equates to an astronomical £50,000 saving over the normal mortgage term of 25 years. That equates to £40 per week, every week!!! It just doesn’t make sense to be putting that sort of money into a lenders pockets when they already make billions of £££’s net profit per year.

Most of us have all experienced hard times at some stage in our lives and received letters from banks telling us that they are going to charge us £27 for bouncing a cheque or non payment of a direct debit or standing order.

Now is the time to hit back and take some of that money back from them by taking advantage of the discounts that they have to offer to existing and new borrowers. There are massive savings to be had by remortgaging and the bigger your mortgage, the more the potential savings. So, if there is massive saving to be had, why do people not remortgage more often?

Surveys conducted by lenders have identified that some people are just not aware, whilst others have said that they just could not be bothered. Some people have stated that the mortgage market is just too complicated.

Well, the range of UK mortgages has increased dramatically over the past few years and although this increase in mortgage types has added complexity, it has also introduced fierce competition, which has in turn resulted in the availability of some very attractive remortgage products for the customer. With over 10,000 mortgage products to choose from, how do we ensure that we get the best and cheapest remortgage rates?

Employing the services of a whole of market UK mortgage broker can pay dividends here as they have sophisticated computer software to narrow down the mortgage products and arrange the cheapest and best remortgages.

If you are having trouble paying your current mortgage, loan or credit cards or you think that you are not receiving the best mortgage deal you possibly can, then perhaps it is time to think about finding the best remortgages. However, many people are unsure about the relative benefits and problems of a remortgage. Here are some useful tips to help you decide if remortgaging is right for you:

What is a remortgage?
A remortgage is when you replace your existing mortgage loan with a new one from either the same lender or a new lender. This is usually done to reduce monthly payments or to release equity. Remortgaging is usually carried out through a remortgage broker to find the best rates.

Remortgaging for lower payments
One of the most common reasons to re-mortgage is to get lower monthly payments than you do now. If you are struggling to pay off your monthly payments, then you need to look for a better deal, as soon as you can. If you can find one, then ask your current mortgage lender if they can match this, if they would prefer to keep you as a customer at a lower rate than lose you altogether. If they cannot match the rate, then you should look at remortgaging.

Remortgaging to release equity
Another reason why people remortgage is to get hold of some extra money by releasing equity they may have built up in their property. This means that you borrow more than your current mortgage debt to release the money you have already paid into the property and this extra money may be used for debt consolidation or home improvements. This is especially useful if your property has gone up in price or if you have paid off a large percentage of your mortgage. It is like getting out a loan, but the rates are low as they are part of the remortgage.

Some Pitfalls of Remortgages
One thing that you should look at before remortgaging is whether or not it is really right for you. There maybe a number of costs involved, such as legal fees and penalties for changing mortgages. These fees could add up and might be more than you can afford. Also, if you borrow more money or you get lower monthly payments, it could mean that you will be paying the money back for a longer period of time.

Although it may seem helpful now, you could end up paying more long-term and if you are still paying the money back when you retired you might be left unable to make the payments without pension provisions.

Remortgaging can help you if you are struggling with payments or you need to free up some money. However, you should think carefully about whether or not remortgaging will be beneficial to you in the long-term but if you have a problem remortgage it could be the ideal situation. 100% adverse credit remortgages, self-employed and self-certification are all available in the UK mortgage market.
The author has been in the UK Financial Services Industry for over twenty years. Follow this link www.mortgages2.co.uk > Best Remortgages for further information.

The Irony Of Remortgages
By michael sterios
Recent news has emerged regarding the staff of a well known lender finding themselves in a position in which they cannot refinance their own homes. Such a circumstance is quite ironic in addition to being ridiculous and shameful. The staff may not be the only home owners finding it difficult to locate appropriate in the current financial climate but their situation is certainly the most bizarre.

The lender is question is Northern Rock. This lender had previously grown to be one of the country’s largest and most successful mortgage lenders before the quality of its loan book was uncovered after the sub-prime mortgage debacle made its way across the pond. Thousands of bad credit mortgages were found to be at risk or in default and the inappropriately named Rock was thrown into turmoil.

It is public knowledge that the Government has controversially nationalised the irresponsible lender in order to save face as well as save millions of Mum and Dad savers and investors from losing substantial sums of money. Such a loss would help to trigger a national recession which is no doubt why the Government was keen to lend billions of pounds to the failed mortgage lender as a rescue package.

However in order to save costs the Rock is trimming plenty of fat from its bloated body and some of those trimmings are in the form of staff. Several thousand jobs are on the chopping block in order to help the nationalised lender reduce its costs by twenty percent. Many of the staff who are in line to lose their jobs hold mortgages with their employer and this is where the sad but ironic situation emerges.

Similar to the majority of home owners in the UK many staff members employed by Northern Rock took out mortgages with short term fixed or discounted interest rates. A large portion of these deals expire this year which means that the staff will be looking to remortgage their homes. This may prove difficult as up to one third of the Rock’s faithful workforce are facing redundancy and the prospect of unemployment, even if temporarily.

These workers are not able to refinance their home loans with the Rock as the lender is pushing many of its customers, including staff that are facing the sack, onto other lenders in a bid to increase the quality of its loan book. The other lender are of course reluctant to approve loans for the unfortunate staff as their long term employment prospects are not good.

The irony of the situation is obvious. The hard working staff of one of the country’s largest mortgage lenders cannot find for their own homes. While their union may be trying hard to ensure that the redundancies are conducted on a voluntary basis and that the unlucky staff members receive the highest payouts possible they can only achieve so much. This does not include persuading lenders to find suitable for their homes.

The credit crunch has already claimed many scalps but probably none as unlucky as the staff from Northern Rock who will struggle to finance their homes in the near future.
For impartial advice on Remortgages or to apply today submit your details to www.remortgagesource.co.uk and speak to an independent mortgage broker www.remortgagesource.co.uk