Looking to renew - who is the best?

sho_me_da_money

Hi Guys,

My current mortgage (2 years fixed with Principality) is coming to an end. This was my first mortgage provider...ever and I have never gone through a renewal process before. Please could you advise any tips on how to get the best deal.

I currently pay £350 per month and my initial deposit was 10% of a house valued at £92,000.

Thank you and all the best,

Sho

kingstreet

There is no renewal.

If you do nothing, you will roll onto the follow-on rate set out in your mortgage offer/KFI, normally the lender's standard variable rate.

You can ask your lender for details of any customer retention products which may be available to you.

Finally, you can look at your remortgage options. You take out a new mortgage with a new lender to repay the current one. This will be based on the property value, your equity, affordability and status similar to when you applied for the current mortgage.

You can carry out your own research, have a broker do it for you, or combine the two together to cover the whole market, including direct-only lenders/products.

N44l

Hello,

I have realised that my mortgage is not due for renewal until February 2016. However I would like to know if there are any better deals for me...

I am currently paying 3.79 interest and to get out I have a penalty of £2300. Therefore if it works out cheaper elsewhere then I would be happy to get out earlier.

Any advice would be great, many thanks

N44l

kingstreet

We have absolutely no way of knowing what is possible for you and your mortgage.

You're going to have to research products and costs yourself, or appoint an independent broker to do it for you.

Unless you have a large mortgage at a low loan to value, making up £2,300 in two years is going to be difficult. You are going to have to be nearly £100 a month better off with no fees payable to make it worthwhile.