Reviewing your mortgage

September 11, 2015 by Brendan O'Neill

Advice & Tips

Mortgage deals are changing all the time, and it is difficult to know whether you have the best deal or not. When you are approved for a mortgage, you will probably have taken advice from a CeMAP qualified mortgage adviser, who will have arranged the most suitable deal at that particular time. However, your circumstances change and the availability of mortgage products varies wildly from year to year. Review your mortgage on a regular basis, so that you know that you have the best value deal for you.

New mortgage deals are introduced every day, some of which could lower the cost of your mortgage if you’re not already tied into an agreement that has an early repayment charge. If you aren’t restricted by a deal, you can change to another lender whenever you like, as long as the deal is suitable. As it isn’t practical to review your mortgage every day, there are three occasions when you may want to spend some time doing a comparison; when an existing deal comes to an end, once a year if you don’t have any penalties for early repayment and when the interest rate changes.

There are several benefits to swapping to a more favourable deal. You could lower your monthly repayment if the interest rate is lower, which is ideal if you have a limited income. If you can afford to continue paying your existing monthly payment, although you have a deal with a lower interest rate, you could save thousands on the total mortgage repayable and shorten the term. Speak to an adviser to find out more.