While the last few years have seen interest rates at historically low levels, homeowners can still find themselves significantly overpaying if they don’t switch when a fixed rate, variable, or tracker deal is about to end.
This is because lenders automatically put borrowers on a Standard Variable Rate (SVR) when a deal ends, and this is typically much higher than the best rates available to other customers.
Despite the potential savings on offer, research1 found almost half of all homeowners have never remortgaged their property even though nearly one in three feel they could save money by doing so. Analysis by Experian2 quantifies the amount that could be saved, with some homeowners potentially over £5,000 better off switching to a two-year fixed rate deal rather than remaining on a lender’s SVR.
If you’d like to see if you could cut your monthly repayments, then get in touch and we’ll scour the market to find a remortgage deal that’s perfect for you.
Your home may be repossessed if you do not keep up repayments on your mortgage
1Barclays, 2021, 2Experian, 2020
22 February, 2022