Buy to Let Remortgage
It is always a good idea to regularly check to see whether there is a buy to let remortgage deal available that will be a better option than the current mortgage you have for your buy to let property. You may be able to obtain further lending by remortgaging, if this is required.
The remortgage will pay off and replace the mortgage you already have on the property, but is usually only worth doing if you are not tied to a redemption penalty on your current mortgage for terminating the mortgage early. Check also what costs and fees will be charged if you remortgage. The remortgage may not be worth doing if it triggers hefty exit fees for ending your old mortgage and large arrangement fees from starting the new one, as well as legal and valuation fees, even if the new mortgage is at a lower interest rate than your current one.
To find the best buy to let remortgage deals you can obtain remortgage rates from mortgage brokers, mortgage comparison websites and the lenders themselves. Many websites include a remortgage calculator and remortgage comparison tools to help you obtain remortgage rates and work out budgets and affordability, and brokers and lenders can provide remortgaging advice.
Even if you find what seems to be the best buy to let remortgage, there may be a better option for your personal circumstances. It is worth contacting your current mortgage lender, because they may be able to offer a better interest rate, reduce your monthly payments, provide a further advance or shorten or extend the mortgage term.
Before committing to a remortgage, be sure to research all costs thoroughly and budget carefully, if necessary obtaining advice from an independent adviser. A good remortgage could greatly improve your financial situation, but a bad one could put you under increased financial pressure.
By Ben West