Remortgaging – you know it makes sense…..

Wednesday 16 August 2017 | 03:29 PM

There’s been plenty of Brexit chat over the last few weeks and months and I’m sure, like me, you’re still unsure of how it will affect us all personally in future months. Did we make the right choice – on the basis I’m not convinced the politicians actually know, it’s a very difficult call!


However, there is one area where Brexit can be used to affect many of us in a very positive way.


Remortgaging. Something many of us did every few years without fail to find a new market leading product at the end of our fixed or tracker rate product. Once the Bank of England moved the base rate to 0.5% after the credit downturn, remortgaging lost much of its sparkle. At the end of our fixed or tracker product, many of us moved onto the lender’s standard variable rate as there was little to choose between remortgaging and remaining with our existing lender.


But times are now changing. Have a look at the standard variable rates of some of the main mortgage lenders. This is the rate you will currently be paying if you are on their standard variable rate;


Barclays                                   3.74%

Halifax                                      3.74%

Nationwide                                3.74%

Natwest                                    3.75%

Santander                                 4.49%

The Co-operative Bank              4.49%

Yorkshire BS                             4.74%


And now look what has happened post Brexit. SWAP rates, which lenders use to price their fixed rate products, have fallen dramatically. As a result;


  • 2 year fixed rates now start from 1.13%
  • 5 year fixed rates now start from 1.64%
  • There is now even a 10 year fixed rate product available with an interest rate of 2.39%!


We often hear of people changing their car insurance or utilities and saving perhaps £50 per annum. Now is the time to consider remortgaging as the potential savings can be into £100’s per month. In addition, there is much uncertainty as to what is going to happen to the economy, or to inflation so now is definitely time to take advantage of one of the cracking deals that are available.


None of us can see into the future, but it is hard to see rates staying this low for too long – remortgage enquiries are gaining momentum once more……..why not be one of those making Brexit proactively work in your favour?


Finding the best solution for your circumstances needs an experienced eye to ensure that you find the right balance between interest rate, fees, term and type of product and penalties. Local, face to face, independent mortgage advice can smooth the whole process and we would be delighted to help.


Paul Hardingham and Tony Ibson are Mortgage and Protection Advisers at Innovate Mortgages and Loans. Both have over 20 years of experience advising individuals and businesses across the North East of England. They can be contacted for bespoke advice at or or call 0191 223 3514.


Your home is at risk if you do not keep up repayments on a mortgage or other loan secured on it.