Moving mortgage without moving house can be both painless and inexpensive. If you have had your existing loan for some time, and are paying your lender's standard variable rate, or have come to the end of a discount or fixed scheme, then you will have a wide choice of new loans to consider. 

Q: What is the first step I should take towards obtaining a mortgage on better terms?
A: First, ask your existing lender about any special deals they can offer you to cut your mortgage costs. They should be able to show you how your payments will alter if you switch loans and explain the costs and paperwork involved.

Q: Will I have to pay my existing lender a penalty charge?
A: They will be able to tell you this. Remember to factor in this charge if they do. However, in many cases, the savings from moving lender can be so great that penalties can still be worth paying.

Q: What if my existing lender cannot help me?
A: Next, shop around amongst other lenders. Don't just look at high-street names - many new lenders have entered the marketplace in recent years and offer very attractive low-cost deals.

Q: Will I need a valuation?
A: You may be required to have a valuer examine your home before your new loan is agreed - though they may just carry out a valuation from the street if you are only borrowing a small percentage of the total value. 

Q: Will I need a solicitor to handle the conveyancing?
A: You could either instruct one yourself or in some cases the new lender may assist you to find one.

Q: Is the process a lot of hassle?
A: Often the paperwork of a remortgage can all be done over the phone - or even on the Internet. Completed forms are just sent to you to sign and return. The process should be painless.

Q: How long does a remortgage usually take?
A: There is no standard time. Delays can happen - but most remortgages are typically completed within two months. 

The Financial Services Authority does not regulate mortgages. YOUR HOME IS AT RISK IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR OTHER LOANS SECURED ON IT. Written quotations available on request, loans subject to status. Insurance may be required.

Article date August 2003