Best remortgage deals in the UK

10 min Read Published: 16 May 2024

Best remortgage deals in the UK

In this article, we share the best remortgage interest rates you can secure from over 90 lenders in the UK. We explain how to remortgage successfully; when to remortgage, how early you can start the remortgage process and how to compare the best remortgage deals to get the best value based on your needs and financial circumstances.

What is remortgaging?

Remortgaging is the process by which you can move the mortgage loan on your current property to a new mortgage deal. Often prompted by the expiry of your current mortgage deal period, remortgaging can help you to find a better mortgage deal* to reduce your monthly mortgage payment or to change other aspects of your mortgage such as the mortgage amount, mortgage term or even the type of mortgage.

While a mortgage term is usually between 25 years and 40 years long, the mortgage deal period is usually shorter, often 2, 5 or 10 years. Most mortgage borrowers will remortgage at the end of their mortgage deal period - largely to avoid going onto the lenders' standard variable rate which is often far higher than the rate offered during the deal period.

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How does remortgaging work?

To remortgage you will need to complete an application for the new mortgage deal. If you are remortgaging to a new mortgage deal with your current lender, this is referred to as a product transfer and is quite straightforward because your current lender will have most of your financial information to hand. If you are remortgaging to a new lender you will usually be required to complete additional affordability and property checks.

You will find useful information in our article, 'What is a product transfer mortgage and is it better than a remortgage?'.

Best remortgage deals UK

Remortgage deals change all the time and while new deals regularly come to market, they can often be pulled at short notice so you should act quickly if you find a remortgage deal you like.

The lower your loan-to-value (LTV) ratio, the better the remortgage deal you will be able to secure so we have provided remortgage deals based on different LTVs. We've listed the best remortgage deals by the lowest interest rate but you can find the best deal for your particular circumstances sorted by other factors using our remortgage deal comparison tool.

Best fixed-rate remortgage deals

Remortgaging to a fixed-rate deal will mean that the interest rate will remain the same for the duration of the deal period. Below we have provided the best 2-year, 5-year and 10-year fixed-rate remortgage deals that are available in the mortgage market.

We have assumed a remortgage for a house that is valued at £350,000 over 25 years and the deals were correct at the time of writing.

Best 2-year fixed-rate remortgage deals at 60% LTV

Lender Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
Lloyds Bank 4.65% 8.74% £999
MPowered Mortgages 4.77% 8.74% £1,099
Royal Bank of Scotland 4.82% 8.24% £1,025

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Best 2-year fixed-rate remortgage deals at 80% LTV

Lender Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
Furness Building Society 5.09% 8.69% £1,139
Bank of Ireland 5.24% 8.04% £1,705
Darlington Building Society 5.29% 8.09% £1,044

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Best 2-year fixed-rate remortgage deals at 90% LTV

Lender Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
Scottish Building Society 5.39% 8.49% £1,095
Furness Building Society 5.39% 8.69% £1,139
Monmouthshire Building Society 5.45% 8.49% £999

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Best 5-year fixed-rate remortgage deals at 60% LTV

Lender Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
NatWest 4.32% 8.24% £1,525
Lloyds Bank 4.33% 8.74% £999
Royal Bank of Scotland 4.42% 8.24% £1,025

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Best 5-year fixed-rate remortgage deals at 80% LTV

Lender Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
Vernon Building Society 4.49% 8.10% £1,494
Leek United Building Society 4.65% 8.24% £1,100
Principality Building Society 4.77% 7.60% £1,468

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Best 5-year fixed-rate remortgage deals at 90% LTV

Lender Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
Leeds Building Society 4.83% 8.24% £234
Monmouthshire Building Society 4.90% 8.49% £999
Vernon Building Society 4.94% 8.10% £170

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Best 10-year fixed-rate remortgage deals at 60% LTV

Lender Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
First Direct 4.78% 6.99% £490
Lloyds Bank 4.86% 8.74% £999
Virgin Money 4.89% 9.24% £1,020

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Best 10-year fixed-rate remortgage deals at 80% LTV

Lender Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
First Direct 4.99% 6.99% £490
Nationwide 5.19% 7.99% £999
HSBC 5.28% 6.99% £999

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Best 10-year fixed-rate remortgage deals at 90% LTV

Lender Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
Yorkshire Building Society 5.49% 8.24% £1,585
Nationwide 5.54% 7.99% £999

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Best tracker rate remortgage deals

Remortgaging to a tracker rate deal will mean that the interest rate charged on your mortgage loan will change from time to time as it tracks the Bank of England base rate which is reviewed every six weeks.

Below we have listed the best 2-year and 5-year tracker rate remortgage deals on a 60%, 80% and 90% loan-to-value basis. We have assumed that the value of your home is £350,000 and the term of the mortgage is 25 years.

Best 2-year tracker rate remortgage deals

Lender LTV Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
Leek United Building Society 60% 4.99% 8.24% £1,100
Leek United Building Society 80% 4.99% 8.24% £1,100
Hanley Economic Building Society 90% 5.00% 8.49% £910

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Best 5-year tracker rate remortgage deals

Lender LTV Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
Earl Shilton Building Society 60% 5.64% 8.39% £1,405
Barclays 80% 6.25% 8.74% £1,114
Earl Shilton Building Society 90% 6.54% 8.39% £1,304

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Best buy-to-let remortgage deals

If you are a landlord looking to remortgage your buy-to-let property, the best remortgage deals can be difficult to source. Below we have listed the best 2-year and 5-year fixed-rate and tracker rate remortgage deals for buy-to-let properties. We have assumed a property value of £350,000 and a mortgage term of 25 years to provide the best buy-to-let remortgage offers based on 60% and 80% LTV.

Best 2-year fixed-rate buy-to-let remortgage deals

Lender LTV Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
West One 60% 3.19% 10.24% £22,033
Suffolk Building Society 80% 4.79% 8.69% £8,728

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Best 5-year fixed-rate buy-to-let remortgage deals

Lender LTV Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
Birmingham Midshires 60% 4.10% 9.59% £6,299
Accord Mortgages 80% 4.99% 8.24% £3,620

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Best 2-year tracker rate buy-to-let remortgage deals

Lender LTV Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
Mansfield Building Society 60% 5.19% 8.89% £5,851
Furness Building Society 80% 5.59% 8.69% £1,135

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Best 5-year tracker rate buy-to-let remortgage deals

Lender LTV Interest rate Standard variable rate (SVR) after deal period ends Lender's fee
Newbury Building Society 60% 5.25% 7.00% £1,400

Remortgage deals based on a property value of £350,000 and a mortgage term of 25 years

Why remortgage?

Remortgaging allows you to:

  • Switch to a better interest rate deal - this is the most common reason for remortgaging because most mortgage borrowers will be prompted to switch mortgage deals when their current mortgage deal expires and before it reverts to the lender's standard variable rate which is often much higher than a new fixed-period remortgage deal.
  • Switch to a different type of mortgage - although uncommon, remortgaging allows you to switch to a different type of mortgage, your repayment mortgage to an interest-only mortgage or vice versa and you may even wish to change to an offset mortgage deal.
  • Reduce the amount of your mortgage loan - you can reduce your mortgage loan by paying a lump sum at the end of your mortgage deal period to avoid any penalties or charges associated with overpayments during your mortgage deal period.
  • Increase the amount of your mortgage loan - you may wish to borrow more money by increasing your mortgage loan to carry out home improvements, consolidate other debts or use for any other purpose and this is referred to as remortgaging to release equity from your home.
  • Reduce the term of your mortgage - reducing the term of your mortgage could allow you to pay off your mortgage sooner, although doing so will usually increase your monthly mortgage payment.
  • Increase the term of your mortgage - increasing the term of your mortgage could help to reduce your monthly mortgage payment but would mean that it will take longer to repay your mortgage.

When is a good time to remortgage?

Most people remortgage when their current mortgage deal period ends - this way they avoid any early repayment charges and exit fees. At the end of your mortgage deal period, you are released from the terms and conditions attached to that particular mortgage deal but you are also moved onto your lender's standard variable rate.

Most people choose to remortgage as soon as their current mortgage deal period ends to avoid going onto the lender's standard variable rate (SVR), which is often much higher than the best remortgage deals available on the market.

Can you remortgage early?

Yes, it is possible to remortgage early or at any point during your mortgage term - there is nothing legally stopping you from doing so. However, remortgaging before your deal period ends will usually prompt early repayment charges and exit fees that usually make this financially unattractive.

Only in rare circumstances would you consider remortgaging before your mortgage deal comes to an end but there is nothing stopping you from getting ready to remortgage early. Doing so will give you more time to find the best remortgage deal and complete the application, ensuring a smooth transition from your current mortgage deal to the new one. You can usually start the remortgaging process up to 6 months before your current deal ends.

Steps to get ready to remortgage

  1. Get a mortgage redemption statement - you will need to know your mortgage balance when your mortgage deal expires as this will be the amount of your remortgage (unless you are increasing or reducing how much you want to borrow).
  2. Search for a remortgage deal - your lender is likely to share its best remortgage deals with you but it is wise to check remortgage deals from across the mortgage market as this may save you money and speaking to a mortgage broker* can boost your search.
  3. Collect your mortgage information - depending on whether you remortgage to a new deal with your current lender or a new lender, you will need to gather information such as evidence of your income, a home valuation and bank statements.
  4. Work out the costs of remortgaging - there may be no costs involved in remortgaging but you should check if you will be required to pay an arrangement fee, application fee, valuation fee or conveyancing/solicitor's fee. All fees should be considered when weighing up the total cost of remortgaging and a mortgage broker can help you find the best deal*.
  5. Gain an agreement in principle (AIP) - you will complete a short application that checks if you meet the essential lending criteria to secure the remortgage deal you select. You will then be provided with an offer that is subject to further assessment once you complete your remortgage application.
  6. Complete your remortgage application - a full mortgage application will assess your income and outgoings as well as a check on your credit file for your most recent credit score before making you a formal remortgage offer.

What are the fees and costs of remortgaging?

The fees and costs associated with securing a remortgage deal will vary depending on your lender and the specific terms of your new mortgage deal. There are usually less costs associated with remortgaging to a mortgage deal with your existing mortgage lender, often referred to as a 'product transfer', but you should check that you're getting the most competitive remortgage deal based on the overall cost as well.

Some lenders do not charge a fee while others may charge thousands of pounds to secure a remortgage deal and this should be factored into your decision. If you use a mortgage broker to help you remortgage, they may charge a fee but many do not charge fees as they are paid by the lender.

You can read more in our article, "How much can I remortgage my house for and what is the cost?".

Will you need a solicitor to remortgage?

You will usually need a solicitor in order to complete conveyancing if you choose to remortgage to a different lender from your current one. However, remortgaging with your current lender will usually mean there is no need to carry out any conveyancing which will save you the cost of a solicitor or conveyancer.

How to get a remortgage deal

The best way to start your search for the best remortgage deals is to work out how much you need to borrow, the value of your property and enter these details into a remortgage deal comparison tool. This will return the best remortgage deals which you can sort according to your preference. You can choose to filter the results as follows:

  • by the lowest interest rate
  • by the lowest cost over the whole mortgage period
  • by the lowest cost over the deal period
  • by the lowest monthly mortgage payment
  • by the lowest lender fees

It is a good idea to work out what your priorities are and which aspect of the remortgage deal is most important to your circumstances. You will also find further information in our article, "How to remortgage and get the best rate".

How to compare remortgage deals to save money

While you can compare remortgage deals online, you will also need to be sure that you can meet the lending criteria to qualify for your chosen remortgage deal. Some remortgage deals may only be available through an intermediary or mortgage broker and speaking to a mortgage broker can allow you to access more remortgage deals as well as get help with your application process to secure it.

At Money to the Masses we have vetted the services provided by Habito*, an online mortgage broker that searches the market for the best deals on your behalf, provides support to complete your remortgage application and does not charge for these services. You can arrange a no-obligation call to discuss your remortgage needs with a mortgage expert at Habito. Alternatively, you can source a mortgage broker in your area that has been vetted by other mortgage customers using the online directory, VouchedFor* or Unbiased*.

Further reading

 

 

If a link has an * beside it this means that it is an affiliated link. If you go via the link, Money to the Masses may receive a small fee which helps keep Money to the Masses free to use. The following link can be used if you do not wish to help Money to the Masses or take advantage of any exclusive offers - Habito, Vouchedfor, Unbiased