Remortgaging your property is a big decision but one that has the potential to dramatically change your financial circumstances. Switching to a different mortgage deal can allow you to change your repayments, reduce the amount of interest you pay, and even pay off your debt sooner. So why do so many people avoid taking the leap? Here are 4 common reasons people don’t remortgage their homes, and why you should.
It’s not worth the effort
While remortgaging is certainly not something to be taken lightly and it can require some paperwork in the beginning, the financial rewards that come with finding a more suitable deal can make the initial effort time well spent.
In some cases, homeowners who remortgage their properties can save tens of thousands of pounds over the course of their mortgage deal and pay off their debt several years earlier than originally planned.
It’s too complex and confusing
With so much financial jargon thrown around when it comes to banking and loans, it’s easy to feel a little overwhelmed. However, there’s plenty of help out there to cut through the complicated lingo and focus on the most important bits.
A mortgage broker, for example, will break down the information and explain the terms and conditions you need to understand, while taking all the arduous parts off your hands. You don’t need to be a mortgage expert to remortgage. You simply need a mortgage expert on your side!
I’ll stick with the deal I signed up for
If you’ve got a fixed rate mortgage and you’re still in the fixed period, sticking with your current deal might not be such a bad idea. However, if your fixed term is about to end or you’ve already been moved onto your lender’s standard variable rate (SVR) chances are you’re paying more interest than you originally signed up for.
I’ll do it when I get around to it
When it comes to making big financial changes, procrastination is extremely common. It’s easy to keep putting off a remortgage and telling yourself you’ll sort it out next week, next month or even next year, but the longer you leave it, the longer you may miss out on great financial savings.
This is particularly true if you’re on a variable rate mortgage or your fixed rate period has ended and you’ve been moved onto your lender’s SVR. You’re likely to be surprised at how quick the remortgage process can be with the right help.
Remortgaging your home might seem like a monumental task, but with benefits ranging from lower mortgage payments to becoming debt-free sooner, there are plenty of reasons to get the ball rolling today.
If you’d like help finding the right mortgage deal for you, please get in touch with the team at TaylorMade.
