Can I Remortgage to Pay Off Debt in Sunderland?

Homeowners will have many different options that they can look at with their mortgage, especially as their fixed period reaches its end. The most popular choice for customers is always a remortgage in Sunderland, where you take out a new mortgage that replaces your old one.

Whilst many will do this for a better deal, not everyone is able to do this. Some will remortgage in Sunderland to release equity as a means to make any appropriate home improvements, whilst others may look at alternative routes available to them, such as product transfers.

A product transfer is where you stay with your existing lender and simply just switch to a new product (mortgage) with them. You can learn more about product transfer mortgages in Sunderland, in our article on the topic.

Something else we find ourselves coming across, are debt consolidation remortgages in Sunderland.

In taking out this sort of mortgage option, you will be merging your unsecured debts (such as credit cards, loans etc.) into a combined, more manageable monthly mortgage payment, which will lower your outgoings.

Taking unsecured debt and securing it against your main asset, your home, is a complex process that will require the help of an expert. You should always seek out professional remortgage advice in Sunderland before you look to proceed with a debt consolidation remortgage in Sunderland.

How can I pay my debts by remortgaging in Sunderland?

If your mortgage advisor in Sunderland comes to the conclusion that a remortgage in Sunderland to consolidate debt is indeed the right option for you and you match up to the criteria for this, you can only do so if you have enough equity within your home.

Equity is of course the difference between what the value of your property currently is and your remaining mortgage balance.

The reason that you need that equity, is because much like would be the case for a remortgage in Sunderland to release equity, you will use a lump sum to pay off your unsecured loan debts, with those costs then merging into your mortgage balance, which will give you more to pay back over a longer term.

You will also be paying interest on a much longer term duration than you previously would have had, which ultimately means you will no doubt have a much larger loan amount to pay back overall.

Can you remortgage in Sunderland early?

This will be entirely dependant on how far into your term you have gotten. People will remortgage 6 months before their deal is due to end, to see their new process completed, though this doesn’t count as early in a mortgage lenders eyes.

Anything earlier than that 6 months will be what is deemed early and typically, will see you faced with an early repayment charge that can be quite costly. If you only happen to be 2 years into a 5 year fixed-rate mortgage, it is incredibly likely that you will be paying one of these charges.

Whilst in some circumstances it may be worthwhile, please remember that not only will you be paying a lot of money to lose the deal that you already have (which will almost certainly be cheaper overall), but the funds you put towards your ERC could quite easily just be put towards your existing debts.

Of course it will all depend on your personal situation and we would always suggest speaking with a remortgage advisor in Sunderland to decide that this is indeed the best course of action for you, prior to doing this. There could yet be better options out there for you, such as a further advance.

Are you able to take out a further advance in Sunderland?

A further advance is a type of additional borrowing that some homeowners may have access to, where you borrow some more money from your current mortgage lender, usually at a different interest rate from your main mortgage in Sunderland.

Quite similarly to a debt consolidation remortgage in Sunderland, this will see your costs spread across your term, though it will be with lower interest rates than if you had took out a personal loan.

Whilst a further advance can prove to be a suitable alternative for a standard remortgage in Sunderland, typically being used for home improvements, it may not be the right option for debt consolidation.

You must remember that you will be securing this extra debt to your home, meaning if you are unable to maintain your mortgage and further advance payments, you risk falling into arrears and facing potential repossession.

Even with that in mind though, this allows you to have a means of paying off your debts if a remortgage in Sunderland is not yet an option that you can take, let’s say for example if you are not yet out of your fixed or introductory period.

Having the conversation with an expert mortgage broker in Sunderland will allow you to accurately evaluate each of the possible options that are available to you as a homeowner.

The Pros & Cons to Remortgaging to Pay Off Debt

As it will be with pretty much all mortgage options, there will be both positives to this, but also a lot of risks as well. The biggest benefit to a remortgage in Sunderland to consolidate debts, is that you will of course be lowering your total monthly outgoings, with one manageable mortgage payment.

Your overall mortgage payments will be going up as you are borrowing more, however, your monthly payments to the credit providers that you have consolidated will then cease to continue.

As said though, the downside is that you are increasing your mortgage amount so whilst monthly payments may be lower, your term will be longer so you’ll be paying more overall. Even still, this can give you more free income to use how you want or to overpay on your mortgage, if appropriate to do so.

It will also be putting significant risk on your home, as all of your unsecured loans will then move on to be secured against your home instead.

What this means is that if you miss any payments and fall into arrears, you are at a serious risk of repossession. It’s for this reason why remortgages in Sunderland to consolidate debt should be prepared for carefully, in advance.

Is it really worth risking losing the home you’ve grown in, just so you can consolidate your debts?

Should I remortgage in Sunderland to pay debt?

This is the ultimate question at the end of the day. Sure, it is possible, but should you actually do it? It depends on your circumstances. Whilst it is an incredibly risky move and should only be looked at in extreme situations, it can still be very useful and help you to better your finances.

Once again though, this should only be done once you have spoken to a qualified mortgage expert. Our mortgage advisors in Sunderland are more than happy to go over your options with you during your free mortgage appointment. They will always try to recommend an alternative for you first, if there is one.

You should think carefully before securing other debts against your home. By adding your unsecured debts to your mortgage in Sunderland, which is secured on your home, you are potentially putting your home at risk if you cannot make the required repayments.

Although the total monthly cost of servicing your debt may have reduced, the total cost of repayment may still have risen as the term of your mortgage is longer than it may have taken to repay the debts originally.

Can I Remortgage With The Same Lender? Product Transfer Advice in Sunderland

When you are reaching the end point of your initial fixed period of your mortgage term, generally homeowners start to look for their options on what to do next, with a remortgage in Sunderland being one of the most popular choices. Another choice is a product transfer in Sunderland.

This may not be something that many homeowners are familiar with, especially if you have been doing your own research ahead of the end of your fixed period. You could say, however, that product transfers are just as popular, if not more popular than an actual remortgage in Sunderland itself.

What is The Difference Between a Remortgage & a Product Transfer in Sunderland?

To explain the difference here, a remortgage in Sunderland is a new mortgage that replaces your old mortgage, with a different mortgage lender. They usually have better rates of interest and lower payments. They typically require documentation to be submitted, before you can get those deals.

A product transfer in Sunderland on the other hand, is the same concept but with the same mortgage lender. What this means, is that so long as your circumstances aren’t different, additional documentation isn’t usually required; You have already been accepted by that mortgage lender once before!

What Are the Benefits Of a Remortgage in Sunderland With The Same Lender?

One of the main reasons why a customer might look to take out a product transfer in Sunderland instead, is that you could be able to save yourself a good amount of money. This in itself can be quite appealing to homeowners.

This is because when you product transfer in Sunderland, you don’t need to pay solicitors fees, may be able to avoid early repayment charges and also may not have any redemption fees. There may still be some arrangement fees for you to pay, however.

A product transfer in Sunderland may also serve to save you a great deal of time and make your process a lot easier. Remortgages in Sunderland may take a while to complete, whilst with a product transfer in Sunderland, because the mortgage lender already knows you and your habits, it can be much quicker.

Why Might Someone Choose To Do a Remortgage Over a Product Transfer in Sunderland?

Whilst product transfers in Sunderland may seem appealing, some may still instead look to remortgage in Sunderland. These are also incredibly popular, due to the flexibility involved with those types of mortgages.

Think about it; You have access to multiple mortgage lenders, with a variety of deals that could be better. Finding one of these otherwise inaccessible mortgage deals could save you a lot of money in the long run.

Additionally to this, a product transfer in Sunderland only means you can take out a new mortgage on the same term you have already agreed to. A remortgage in Sunderland possibly gives you the ability to change your term and allow for the next remortgage in Sunderland to go much easier.

Another choice that is popular, is taking out a remortgage in Sunderland to release equity. Equity is the difference between what you owe on the property and the value of it. This is usually done for all kinds of reasons, such as to fund home improvements, place a deposit on another property and more.

Releasing equity will not work exactly the same with product transfers in Sunderland, though you could possibly find yourself making use of something called a further advance. You should get in touch with a mortgage specialist to learn more about product transfers and further advances in Sunderland.

Do I Need a Solicitor to Remortgage in Sunderland With the Same Lender?

As a general rule, because you are not moving out of the property, there will be no need for a solicitor to be involved when you take out a product transfer in Sunderland.

Where this will become necessary, is if you are going to be making any changes to your mortgage terms, such as removing or adding a name from your mortgage contract. Once this is set to happen, you will most likely need a conveyancer or solicitor.

If I Remortgage in Sunderland With The Same Lender, Will I Need to Have a Credit Check?

Generally speaking, you will not need to have a credit check taken out on you for a product transfer in Sunderland. This can differ between mortgage lenders. The reason this typically occurs, is because the mortgage lender already has a record of you being able to keep up mortgage repayments.

Alternatively to this, if you have, if you have had credit problems during your current mortgage or are remortgaging with another lender to perhaps release some equity, you may find yourself with another credit check taken out on you.

Is there anything else I need to consider when I do a product transfer in Sunderland?

When you take out a product transfer in Sunderland, you may need to plan ahead and think about whether you can foresee yourself moving home at any point in the future. Your current mortgage deal may or may not allow porting a mortgage to a new property.

Instead, a remortgage in Sunderland may allow you to achieve this type of flexibility, by selecting a mortgage deal that may give you the choice to take your mortgage with you if you ever decide to move home.

How Can a Mortgage Broker In Sunderland Help With a Product Transfer in Sunderland?

Our team offer expert remortgage advice in Sunderland and will be able to take a look through your case and figure out what it is you are looking to achieve. Not only can we get through your process efficiently, you’ll also benefit from the variety of deals we have with our large panel of mortgage lenders.

We genuinely care about our customers and our service goes beyond just typical remortgage advice in Sunderland. If you are looking to product transfer in Sunderland, we can help with this. If your mortgage advisor in Sunderland feels like a remortgage is better for you, however, they will advise as such.

We believe in being completely transparent with all of our customers, your best interest should always be a priority. To discuss your options for either a product transfer in Sunderland or a remortgage in Sunderland, book a free remortgage review and speak to one of our mortgage experts.

Mortgage Advice after Divorce / Separation in Sunderland

What happens to your mortgage?

It is very sad when you and your partner decide to call it a day. When you have made joint financial commitments unwinding that side of things does not always run as smoothly as you’d hope.

Here are three main questions that we get asked on Divorce and Mortgage Advice on a regular basis:

Divorce and Mortgage Advice in Sunderland

How do I remove my ex-husband/wife from my mortgage?

Obviously, when you buy a home together you don’t do so with the intention of splitting up in the future but it is a massive financial commitment and making changes to your mortgage further on down the line is not always easy.

When there are children involved, quite often it’s the mum that stays in the property but regardless of gender, there may come a time that whoever is “in situ” wants to take over the mortgage in their own right. This is not always straightforward!

The fact that you may be able to demonstrate you have been paying the mortgage without any help from your ex, does not change the fact that at the point of application you bought the property jointly or, in other words, in the event of mortgage arrears there are 2 people the Lender is allowed to pursue.

Before removing a party from a mortgage the Lender has to be sure that the remaining applicant has the means to be able to afford the mortgage on their own going forward and this means a full assessment of income regardless of whether you have kept up mortgage payments in the past or not.

Quite often in these situations, there is someone who can step in to replace the ex-partner such as a family member or indeed your new partner.

Of course, there are lots of Mortgage Lenders out there all with slightly different ways of assessing your ability to afford a mortgage so don’t give up hope if your existing Lender says no, we still may be able to help you.

How do I remove my name from my ex-partner’s mortgage?

In the event of a separation or divorce, you need to understand that even if you vacate the family home you remain responsible for any joint financial commitments you took out with your ex-partner. This is the case even if you make an agreement with your ex that they will make all the payments.

The mortgage payment for your old property will be taken into consideration if you want to buy a new property in the future so it’s essential in these instances that you take mortgage advice in Sunderland before making an offer. Some Lenders are more generous as regards how much they’ll lend you than others and I’ll take this into account when recommending the most suitable lender to apply for a mortgage agreement in principle with.

Can I have two mortgages?

The answer to this one is YES, you can! Lenders and their credit scoring systems take many factors into account before they offer you a mortgage.  On-going financial commitments are just one of these. The mortgage payment you hold with your ex will need to be inputted, alongside any other credit commitments you may have.

Once we’ve keyed all this in for you our system will confirm the maximum amount you are able to borrow.  So you know your budget at outset and how much deposit you will need to put down.

It can be difficult to move on from your previous joint financial commitments. Just remember it’s all about risk as far as Lenders are concerned. They want to avoid repossession situations at all costs.

Mortgage Broker in Sunderland – Our Service

We offer a whole host of services, including remortgage advice in Sunderland and moving home mortgages. The best thing to do is to get in touch with us with your individual needs and we can advise you on the next steps.

Mortgage Protection Insurance Explained in Sunderland

Why Mortgage Protection Insurance is important?

Mortgage Protection Insurance is an umbrella term that encompasses different types of cover. The aim is to protect borrowers from events that could affect their ability to keep up with mortgage payments. When connected to a mortgage, they provide peace of mind and a sense of security to the borrowers.

The Different Types of Cover Include:

  1. Life Insurance in Sunderland.
  2. Critical Illness Cover in Sunderland.
  3. Income Protection in Sunderland.
  4. Accident, Sickness, Unemployment (ASU) Cover.
  5. Family Income Benefit.

Life Cover Mortgage Advice in Sunderland

There are generally two types of life cover; “Whole of Life” or “Term Assurance.” The whole of Life cover is guaranteed to pay out a lump sum on death, whenever it occurs. Term Assurance pays out if you die within a specified term of years.

There are also different types of term assurance – for example, “level,” “increasing,” or “convertible.” The type most commonly used as mortgage protection these days is “Decreasing Term Assurance.”

If you look at linking this to a repayment mortgage, the sums assured reduces at roughly the same rate as the mortgage balance. Because the risk to the insurer diminishes over time, the premiums are generally cheaper than other types of life cover if the policyholder dies within the term.

Then the sum assured should be enough to pay off the outstanding mortgage balance. Getting this should ensure the borrower’s dependents do not get left with a debt they might not otherwise be able to manage.

Critical Illness Cover

Some people say that life cover gets taken for the benefit of other people. Because, sadly, you won’t be around to see any interest.

However, these days, many people in Sunderland survive conditions that once might have been fatal. Nevertheless, while undergoing treatment and recovery, it could affect your ability to meet your financial commitments. Leading to the development of Critical Illness cover in Sunderland.

Working in a similar way to Life Assurance, in that gets taken for a specific term of years. It can also have different options, such as level/increase.

They get designed to pay out a lump sum and taken on a decreasing term—basis in line with the reduction of your mortgage balance. The key is that the benefit gets paid if you fall victim to one of several specified critical illnesses.

It will then pay out whatever the long-term prognosis of that illness. The type of illnesses covered varies for each provider. In general terms, insurers usually cover between 40 – 50 specified conditions, including cancer, heart attack, and stroke. Pay-outs depend on meeting the required level of seriousness of the particular situation suffered.

What else do we know?

The life companies all work to at least the pre-designated clinical definitions as prescribed by the Association of British Insurers.

What we mean is they can’t just arbitrarily decide that you’re not ill enough. Hopefully, if your treatment is successful, it means that you can benefit by no longer having a mortgage to pay after your illness.

In practice, many companies will offer Life and Critical Illness Critical cover as a combined policy. Usually, a pay-out on the “first event,” i.e., whatever happens first, either death or severe illness. They can also get written on a single or joint life basis.

Income Protection

Whereas Life and Critical Illness cover pay out a lump sum, “Income Protection” pays out a monthly amount. They got designed to replace your wages in the event of you being unfit to work in Sunderland. Unlike Critical Illness cover, there are no restrictions on the illnesses or injuries covered.

The only factors being whether they make you unfit to work. There are, however, restrictions on how much you can cover and how quickly benefits would start to get paid because the insurers want you to have an incentive to return to work rather than being better off on sick.

Typically, the most you can cover would be approximately 55%-65% of your income. Benefits would begin to get paid after a “deferred period.” Usually, it equates to the length of time you would receive sick pay from your employer.

Benefits would continue to get paid for as long as you remain unfit to work. Or until the policy term ends, whichever comes first. However, to make premiums cheaper, most companies offer a “budget” option whereby benefits would get paid for a shorter period.

Usually between 2-5 years – to at least allow you to make alternative arrangements. In case it looks like you’ll get incapacitated for longer than that.

Like Life and Critical Illness Cover. These policies are underwritten based on your health and lifestyle at the time you apply. All income protection policies get written on a single life basis.

Accident, Sickness, Unemployment (ASU) Cover

Similar in many ways to Income Protection, you are covered by these policies if made unemployed. Benefits get usually linked to your mortgage and other costs (rather than necessarily your wages). It would usually be paid one month “in arrears” after a successful claim.

These policies only get underwritten at the time of a claim. Rather than at the outset, which can sometimes mean there can be some confusion/delay as to whether demand would get met.

They are a useful safety net if you get made long-term unemployed. But be sure to check the details of how/when any unemployment benefits would get paid out. As it may be that you would have returned to work before any monies become due.

Family Income Benefit

Probably the least common of the “mortgage protection” type policies. However, these can often be valuable, particularly for those with young families in Sunderland. These plans can get taken to cover Life and Critical Illness and get underwritten on the application.

Unlike the traditional forms of policy or instead, pay out a lump sum. The covers would pay an annual or monthly income for the remainder of the term of the plan. Thus, it can replace the income of the primary breadwinner for several years.

Dependent upon a particular client’s circumstances. Because of this would usually be written on a level or basis. Or an index-linked basis designed to keep up with inflation.


There’s an adage that says you can never have too much insurance whether you are a First Time Buyer in Sunderland. A Buy to Let Landlord in Sunderland, or ready to Remortgage in Sunderland, looking into insurance is always hugely beneficial.

Many people have different types of policies, and it would be wrong to think of these as an “either/or” choice. You can have more than one kind of Mortgage Protection Insurance. However, in the real world, affordability plays a massive part while it would be fantastic to cover every type of Mortgage Protection Insurance.

A good Mortgage Advisor in Sunderland like us will sit down with you and tailor the type of cover to be the most suitable combination to your family’s priority and budget.

If you do take more than one policy, your Mortgage & Protection Advisor in Sunderland, typically, we would usually place all the cover with one provider. To help save you the additional policy administration charges which individual policies carry.

Mortgage Broker in Sunderland

Remortgage Advisor & Remortgage Advice in Sunderland

Trusted Mortgage Broker in Sunderland

Some point if your lives your current mortgage deal is coming to an end, or you’re in need to borrow some extra money?

Then you should consider to remortgage in Sunderland, too many people make the same mistake leaving it far too late and end up lapsing into their Lender’s Standard Variable Rate. If this has happened to you, chances are you are paying way more than you need to be doing on your mortgage payments each month.

Why Should I Shop Around for a Remortgage in Sunderland?

Relying on your current Lender offering you a new deal, you will be missing out on potentially lower rates elsewhere. Lenders love it when customers don’t shop around! They do not reward loyalty as a rule. They even offer better deals to new customers than their existing borrowers.

If you switch online without speaking to someone, this is an Execution Only mortgage. That means you do not benefit from the consumer protection you would have got by taking advice. Again, Lenders love this because if it turns out, you received the wrong product, you have no grounds to complain since you picked it yourself. I have always felt that customers should always seek advice when their remortgage is due.

Some customers are still on low rate tracker deals that they have had for years and years. Even so, it’s always worth having a look to see what is out there, especially if you are concerned that interest rates might go up if you feel like that you can always take out a Fixed Rate Remortgage.

Remortgage Advice in Sunderland for Home Improvements

If you feel your home would benefit from some upgrading, then it is possible to Remortgage in Sunderland for Home Improvements. Investing in your home can be an excellent investment. Some improvements, such as extensions or loft conversions, can put a value on your home. Kitchens and bathrooms can look tired after a few years, and you can increase your mortgage to pay for cosmetic alterations as well as structural work.

If the amount you need to borrow is significant, then the Lender will reserve the right to ask you for estimates for the works you intend to have carried out. You don’t necessarily have to use the Contractor that provided the view to do the actual tasks.

Some people borrow for Home Improvements even if they know their home may not go up in value. If you have decided you are already in your “forever home,” and if you can afford it, there’s nothing wrong with borrowing for this purpose at all.

Capital Raising Remortgage Advice in Sunderland

You can borrow extra funds for most legal purposes, examples of this would be:

You can raise capital on your property when you remortgage in Sunderland for almost any legitimate reason. It could be for large consumer purchases, gifts to help family members, to purchase a Buy to Let property or for Debt Consolidation.

Remember, you will pay interest on a Remortgage for many years usually, so it’s essential you borrow for the right reasons.

Debt Consolidation Remortgage Advice in Sunderland

When you add unsecured debt to your mortgage, you may end up paying back more interest overall, and a mortgage term tends to be much longer than that of a personal loan (although it doesn’t have to be).

Are you taking unsecured debt and securing your home?

That doesn’t sit comfortably with everyone as you are under the risk of repossession if you cannot afford your mortgage in the future.

You will need to know the interest rates that apply to the debts that you are considering rolling into your mortgage. If you have 0% credit cards, then adding these to your mortgage will start attracting interest.

You should consider all options before deciding to consolidate debts, such as asking family members for assistance if possible and reducing as much non-essential expenditure as possible.

Once you have considered all the above and decided a Debt Consolidation Remortgage advice in Sunderland could be right for you, then it’s vital you speak with a Mortgage Advisor in Sunderland. The Advisor will take responsibility for the recommended remortgage and help you with your application.

Often, consolidating debts into your mortgage leads to a reduction in your monthly outgoing. Some customers end up reducing their payments by hundreds of pounds.

Remortgage for a Home Office in Sunderland

Remortgage Advice in Sunderland for Home Improvements

During the lockdown, more people have had to adapt to working from home, some managing to cope better than others, weighing the pros and cons. Some are turning their kitchen, living room, or even a bedroom into a temporary home office during lockdown.

A vast majority were already working from home, and some businesses would instead their employees work from the comfort of their home instead of going back and forth to the office, saving you a lot on travel expenses, saving you much money.

Remortgage for a Home Office

One of the most popular home improvements people carry out these days is converting a room or indeed garage for a Home Office. There are numerous advantages to working from home, although obviously it doesn’t work for everyone.

Sometimes people move house in order to achieve their goals in terms of a better living environment which is fair enough but there are sometimes options to better utilize another area of your current property.

Especially now that we live in a technological age, consider getting a remortgage in Sunderland for additional funds for home improvements to convert a room or perhaps a garage to a home office.

Assuming an interest rate of 2% is possible over 25 years it might cost you:

That’s probably not a lot more than you are paying right now and it can make sense for a lot of people to “improve not move”, especially when you consider the aggravation and cost of buying a new home.

Many factors will affect how much you will have to pay back per month and how much you can borrow overhaul. It is down to the specification of the home improvement, such as the size of the extension.

You will also need to consider that to remortgage, and you will have to go through another affordability assessment, even if you switch deal through the same lender.

Are you looking to remortgage for a home office?

As previously mentioned, the rates have never been lower, now is the best time to look for a remortgage deal to switch.

Your lender could likely extend the time frame of your remortgage process. Meaning your home improvement could start 6-9 months.

As Remortgage Advisor in Sunderland, we have always recommended that you speak to a local Mortgage Broker in Sunderland like us. We will search through thousands of remortgage deals and pick out the perfect one for you and your situation.

We understand that time is tight at the moment; having a team of friendly Mortgage Advisor in Sunderland by your side could make the process simple, saving you time and money.

We offer all our new or existing customers a free Mortgage Consultation. Contact us today to book your free remortgage consultation in Sunderland & see how we can help you.

Mortgage Broker in Sunderland

Getting a Second Mortgage in Sunderland

Here are some of the reasons for customers looking to obtain a second mortgage:

  1. To raise money for your existing home
  2. To rent out your existing home and purchase a new one
  3. So you can help your children out with a second mortgage
  4. Purchasing a buy to let mortgage in Sunderland
  5. You are on an existing mortgage and are looking to buy a new property

Second Mortgage to Raise Money

If you have a large amount of equity built up in your home and are looking for a second mortgage to release some of the funds to put towards a new home or something else, then your experienced Mortgage Advisors in Sunderland may be able to help.

Usually if customers find they are currently on a lenders standard variable rate, our team are able to shop around and find a more competitive deal, whilst also being able to release capital. A further advance with your current Lender is also a route you could take.

Second Mortgage to Rent Out Existing Home to Purchase a New one

Some customers consider moving home in Sunderland, whilst retaining ownership of their existing property with the intent to rent it out. Your second mortgage will be a new residential mortgage. This type of move is known as a Let to Buy and over the years has become a popular option amongst homeowners.

Second Mortgage to Purchase a Home for your Children

Maybe you are exploring the possibility of helping your children or grandchildren with in finding a spot on the property ladder. Nowadays there are many products that we can run through to make this work.

Named on an Existing Mortgage and Want to Buy a New Home

Is your name currently on another mortgage and you’re looking to purchase a new property to live in? This is something that we come across quite often, especially when factoring in things like divorce or separation and can often help.

Whatever your situation is in wanting to obtain a second mortgage, your experienced Mortgage Broker in Sunderland will be able to search 1000’s of mortgage deals on your behalf and recommend the most suitable product for you based on your personal circumstances.

How Long Should I Fix my Mortgage For in Sunderland?

If you need to know precisely how much your mortgage payment will be, we recommend you should take out a fixed-rate mortgage. The longer you settle for, the higher the rate becomes.

Which is the Cheapest Fixed Rate Mortgage?

If you are looking at finding the cheapest possible fixed-rate mortgage, then a two year fixed rate might be right for you. The payments will be low, but on the downside, two years comes around quickly, and it won’t be long before you have to look for a new deal again.  However, if interest rates go up in the meantime, then you may be faced with higher payments at renewal.

Should I fix my mortgage for five years?

If you don’t like the hassle of applying for new mortgages all the time, then a five year fixed rate would be better. Your payments would then be stable for a much more extended period. Five year fixed rates are more expensive than two or 3-year deals. A potential negative would be if interest rates fell during the fixed-rate period, then you would not benefit from a reduction in monthly payments.

Should I take out a Long Term Fixed Rate Mortgage?

While two years and five year fixed rates are the most popular, and you can settle for longer. Some Lenders offer seven or 10-year fixed-rate mortgages.

These long term fixed-rate mortgages have never been massively popular in the UK. Perhaps we feel that much can change in a decade and we don’t want to get hooked into a deal we can’t get escape.

If your circumstances change then, it can cost you money to repay your mortgage early. In any case, an Early Repayment Charge (ERC). The ERC gets calculated as a percentage of what you owe. For example, if you settle a £100,000 mortgage early and the early repayment charge is 2%, then you would incur a £2,000 penalty for breaking the contract.

It’s usually a mistake for the customer to think about “beating the system” or predicting what will happen to interest rates in the future. When selecting how long to fix your mortgage for, focus on your situation. For example:

We strongly recommend you also avoid chasing “headline” deals. The lowest rates often come with high arrangement fees which some customers are keen to avoid.

A Guide to Remortgage in Sunderland: Top Reasons to Consider

Remortgage Broker in Sunderland

On an overall basis, the mortgage process can often come across as quite surprising and applicants can expect to experience their fair share of both ups and downs. Some applicants may receive a quick and easy process whereas others may find it a lot more challenging trying to reach mortgage completion.

Regardless, once you have secured your first property, moved in and lived there for almost the entirety of your term, you will eventually reach a point where you have to make some choices from which path to take next. First of all, you could have the option to sell your current home and move into a new home.

Alternatively, if you feel like you’ve already found the home you want to stay in for the rest of your life, you may look to remortgage for home improvements. Common choices for this include to fund either an extension or conversion.

In this article, we are going to take a look on remortgaging and the various reasons why people may look to take out a remortgage in Sunderland.

What is a remortgage?

A remortgage is where you take out a new mortgage to pay off the mortgage you already have. There are lots of different options to choose from at the point of remortgage, it’s entirely your choice.

As a general rule of thumb, you will take out a remortgage each time you reach the end of your fixed mortgage term. If you opt to not take out a remortgage, you may find that you possibly fall straight onto your lender’s standard variable rate of interest, which will probably be more costly than the rate you’re currently on.

Remortgage for Better Interest Rates

The mortgage deal that you’re on initially will likely last for near 2-5 years. As touched upon previously, if you don’t remortgage, you will move onto your lender’s SVR.

Sometimes, their own rates can be higher than that of a tracker mortgages (track the Bank of England’s base rate), so in the long run this could cost you more than you would otherwise need to pay.

If your mortgage term ends, you may also find yourself falling onto a tracker mortgage. The interest rates of a tracker mortgage will go up and down depending on how the current United Kingdom economy is performing.

As an example of this, during the coronavirus pandemic (March 2020), the Bank of England’s interest rate was much lower than it usually is, as the economy wasn’t performing at it’s best. Over time, the economy recovered, causing the interest rates to rise once again.

It’s reasons like this why people often remortgage to find themselves a much better interest rate. Homeowners look to find themselves a better interest rate in a bid to lower their monthly mortgage repayments.

Remortgage for Home Improvements

Rather than moving home in Sunderland, a lot of homeowners look to make modifications to their existing home, so that they can create more space through either a home extension or loft/room conversion. Some will also remortgage to fund other smaller home improvements such as doing up the kitchen or living room.

The way that this process will work, is when you take out a new mortgage product, the costs for any home improvements will be incorporated into your mortgage. This means that your monthly payments and mortgage term will likely increase.

If you already are wholly fond of the house that you have, making improvements over moving could save you a lot of money. It can potentially be easier, less stressy and provide more benefits in doing so, that the stress and cost of moving home.

Remortgage to Make Changes to Your Term

As a long standing mortgage broker in Sunderland, we’ve regularly seen mortgage applicants that have realised further down the line that they would prefer a different product, however, they are already mid-way through their existing term.

It might just be that they are wanting a more flexible product that will allow them to reduce their mortgage term. Though this could mean a monthly mortgage payment increase, it could mean their mortgage term will decrease.

A flexible mortgage could give you the option to overpay your mortgage payments do that you can pay it off quicker. Usually, people choose to remortgage if they’ve maybe had a pay increase or been given a large lump sum of money, i.e., through being made redundant at work.

Some people may even want to keep the same monthly payments and still stay on their current base rate. When this is the case, you may have the option to remortgage for a term extension.

Remortgage to Release Equity

As a homeowner, it is likely you will have some equity built up inside of your home. You can turn this equity into cash, which is why people often remortgage to release equity.

The amount of equity that will be in your home can be calculated by taking away the remaining amount on the mortgage from the value of the property. A portion of the amount that is remaining can be taken out and used for whatever you’d like (within reason).

It’s up to you what you spend this money on. As mentioned, some use it for home improvements, others use it for a deposit for another property (common with buy to let landlords) and some use it for paying off car loans or taking a holiday. It’s entirely your choice.

If you are over the age of 55 and own a home with a minimum value of £70,000, then it may be worth looking at Equity Release in Sunderland. To see if a later life mortgage is right for you, book a free mortgage appointment with a later life mortgage advisor today.

Remortgage to Consolidate Debt

Firstly, debt consolidation is considered a very specialist subject, so we would highly suggest that you speak with a mortgage advisor in Sunderland before making any sudden decisions.

Consolidating debts means you will be incorporating unsecured debt into your mortgage. Doing this will increase your mortgage payments and can also increase your mortgage term too.

All lenders have a different perspective when it comes to consolidating debts into a mortgage. Some lenders are fine with it and some don’t have it as an option. Lenders often don’t allow it, as you are placing existing unsecured debt into a secured asset.

This means that if for one reason or another you can’t meet your mortgage payments and start to accrue any debt, your property is repossessed. In doing this, the lender will lose out on money as the debt you have is now secured within the property.

The subject can be quite difficult and is something that you should get specialist help for. For debt consolidation and remortgage advice in Sunderland, you should contact our excellent mortgage team, taking advantage of the free mortgage appointment we offer.

Remortgage Advice in Sunderland

Having now read about the various reasons why people may look to remortgage and how they work, maybe you think it’s time to start looking at arranging your remortgage?

Whether you’re looking to remortgage for better rates, for home improvements, for a more flexible term, to release equity, to consolidate your debts into your mortgage or for something else we haven’t mentioned here, one of our dedicated mortgage advisors in Sunderland will have likely had experience in helping someone remortgage for that reason before.

If you would like to have a chat with a remortgage advisor in Sunderland about remortgaging your property, feel free to give us a call and speak to a member of our team. We will be more than happy to try and help you through the remortgage process and get back to life as normal.

The Pros & Cons Of Using A Mortgage Broker In Sunderland

If you’ve been thinking about taking that step onto the property ladder, you may be wondering whether or not to use the assistance of a mortgage broker in Sunderland. We of course believe that our service is incredibly beneficial, especially for first time buyers in Sunderland.

Despite this, we felt it appropriate to give a balanced overview of the pros and cons of coming to a mortgage broker in Sunderland, compared to direct to a mortgage lender.

What are the pros & cons of using a mortgage broker?

People tend to think that they are more likely to save money by not using the services of a mortgage broker. It can seem a lot more cost-effective to just do everything by yourself.

With that in mind, you may be one of those who prefer going directly to the high street mortgage lender. Another reason why people used to prefer going to the bank directly, was that people felt their bank manager knew their finances inside and out, although this changed when credit scoring was brought into the mix.

There is also truth to the claim that some lenders have additional exclusive mortgage products only for the people who directly obtain a mortgage. The main intention behind such ideas is to attract customers away from the services of a mortgage broker.

Ultimately, it is a good way for them to spread the business. The interesting part is that it is arguably just as enticing to speak with a mortgage broker in Sunderland as well. You’ll find that some mortgage offers can only be obtained through a mortgage broker.

From 2014 onward, lenders were no longer able to sell mortgages to anyone on a non-advised basis. At that time, it was a common occurrence for non-advisors to forcefully advise their bank customers, meaning they’ll have had no benefits from consumer protection. Speaking to a professional mortgage advisor in Sunderland will allow those benefits.

It is also important to remember that taking an appointment with a bank can sometimes take months to try and get yourself booked in for. A mortgage broker in Sunderland is often able to get you booked in within the same week, usually within that same day.

These kinds of issues is why the importance of mortgage brokers has grown and changed the public perception over time. More and more applicants rely on the mortgage brokers than before for help with their mortgage process.

There is now a lot more trust for the mortgage brokers in Sunderland, who are typically able to offer their mortgage advice services within the same day. Our dedicated team are always ready to help you, so get in touch and we will put you with an experienced mortgage advisor in Sunderland, as soon as possible.

Handling Difficult Cases

You might be wondering what exactly causes some of the mortgage applications to be more difficult than many applicants expect them to be. Here are some of examples of this: 

In years gone by, it was a lot easier for mortgage lenders to get ahead of their other competitors by laying out more enticing offers than the others have. Times have changed and it’s now more than the deals, it’s the criteria, that differentiates between the lenders.

To make everything easier for you, you should speak with an experienced mortgage broker in Sunderland and see if they have come across a similar situation in the past or not, as they may be able to utilise their knowledge from that to help you through yours.

After undertaking lots research and working very hard, a dedicated mortgage broker will hopefully be able to guide you through your journey and be able to recommend the most suitable mortgage for your personal circumstances.

Even if your mortgage application seems rather simple, it may still be beneficial to use the services of an experienced and knowledgeable mortgage broker, as we will work hard to get the best deal we can for you.

We have a professional and trusted mortgage advice team that will be able to provide guidance on other services such as solicitors. By getting in touch with us, you will also be updated you about the surveys and protection information that will be available to you.

Responsive Service

A key feature of our service that we love to shout about, is how we’re more quicker and responsive compared to the other mortgage brokers.

One of the biggest reasons why customers tend to require help, is that everyone nowadays is very busy and needs someone to take the weight off their shoulders, doing the hard work for them.

Our dedicated and loyal mortgage advisors in Sunderland will do everything they can to make sure the process goes smoothly for you.

If you are ready to chat with a dedicated advisor about your mortgage plans, please get in touch with a mortgage broker in Sunderland. We are available from early until late, all throughout the week, to help you find the perfect mortgage deal. & Sunderlandmoneyman are trading styles of UK Moneyman Limited, which is authorised and regulated by the Financial Conduct Authority.

UK Moneyman Limited is Registered in England, No. 6789312 | Registered Address: 10 Consort Court, Hull, HU9 1PU.

Authorised and Regulated by the Financial Conduct Authority.

We are entered on the Financial Services Register No. 627742 at

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