Self Cert Remortgages

Important notice

We are currently unable to arrange self certification mortgages.

One of the consequences of the Banking credit crisis is that mortgage lenders have withdrawn from this type of lending.

We will be watching for any development in this area

Moving your mortgage onto a different mortgage scheme is termed a remortgage.

If you are coming to the end of a fixed or discounted rate mortgage you should consider remortgaging

We strongly recommend you review your mortgage arrangements periodically to establish that you are not paying an excessive amount for your mortgage.

You can remortgage onto a self cert mortgage.

To help you make the best decision you need to gather information so that you can compare your mortgage options:

• Establish what rate you will be transferred to if you do nothing.  This should be shown on the Mortgage Offer documentation issued by the lender when you took out your current mortgage.  This may be the lender’s standard variable rate or it may be linked to the Bank of England base rate. 

• Contact your current mortgage lender and ask them what follow-on deals they are prepared to offer you.  

• Finally contact us to discuss which options are available if you change lender.  As an independent mortgage broker we have access to the best self cert remortgages for your situation.

Remortgaging is an opportunity to re-assess your financial arrangements and to make changes if necessary.

Self Certification

You can self cert your income on a remortgage if the lender allows this. Mortgage lenders will have eligibility conditions which will need to be met. Please speak to us regarding a self cert remortgage

Affordability

Have a look at your income and your commitments. Does your income exceed your commitments

If you are spending more than your are earning then you need to take action to redress the balance

One option to consider, if you are struggling to cope with your credit commitments. You may be able to consolidate some or all of those commitments onto your mortgage. If you do this you will be transferring debt that is unsecured onto your mortgage which is secured against your home. You will also be paying interest over a longer period.

However on the positive side your mortgage interest rate may be lower than the unsecured rate and you may take a view that the benefit of lower monthly payments outweighs the negative considerations.

Mortgage Term

Take a fresh look at the term of your mortgage. The sooner you pay off your mortgage the less interest you will pay.

If your mortgage is arranged on a capital and interest basis then if you reduce the term of your mortgage then your mortgage will be paid off earlier but your mortgage payments will rise. 

Conversely if you extend the term, your mortgage payments will reduce, the disadvantage of doing this is you will be paying interest for a longer period.

Availability of Credit

If you are planning to complete some home improvements or to buy a car. How will you pay for these items. You can borrow the money against your home and pay mortgage interest rates as opposed to taking a separate loan at a higher rate of interest.

The disadvantage of borrowing against your mortgage is you are paying interest over a longer period. Some mortgage lenders will allow you to make monthly or lump sum overpayments. This would enable you to clear the additional borrowing as soon as you want.