Do we remortgage now or not? Really need some advice!!

missb_4

We have been in touch with two mortgage brokers who have advised us completely differently. Our situation is this:
We moved out of our home in Sept 2021 and have moved - so we're renting where we live now, and we're renting our flat out. We have permission to rent from our current mortgage provider, until the mortgage term ends on 30th Sept 2023. We are currently on 3.84%, fixed rate residential mortgage. One mortgage broker has advised us to get a new mortgage asap before the rates go up even more, which would mean an early redemption fee of £4,580. We would need to get a buy to let mortgage next as we're still going to be renting the flat out. We have a mortgage of £229,000 and the flat was valued at £340,000 a couple of years ago. This mortgage broker has said we may be forced to put £35,000 into the flat if the rates go up a lot - but I'm not 100% sure why. The rent we get covers the monthly mortgage amount with a bit to spare. Our monthly mortgage is £1,600. 
Another mortgage broker said it wasn't worth ending the mortgage early due to the £4,580 early redemption fee.
We're really confused and would appreciate any sort of advice whatsoever!!!

MFWannabe

Personally I wouldn’t change it now not when it doesn’t end until Sept 2023 

Edi81

I’d be looking at converting the BTL to interest only. 

jimjames

I wouldn't be paying the redemption fees but you can start the process quite a few months before the term ends. The reference to putting money in to the property presumably relates to the rules where rent has to be  at least125%(?) of the mortgage amount at a set interest rate so if it isn't then you'd need to reduce the mortgage amount. However as above if you switch to interest only then the amount will be lower although you'll not be reducing the capital. Many BTL properties are done as interest only so that's not an unusual situation.