Clearing debt by remortgaging.
With news that the BoE has set back an interest rate increase to 2018, it’s expected that mortgage rates will remain at competitive levels for a while yet.
This is excellent news for home-owners looking to remortgage, as rates are not only set to remain low but property prices are on the rise. This means home-owners have more equity to release to consolidate debt.
If your house is now worth more than when you bought it and you have equity built up, you can remortgage to pay off other debts. By doing this you can reduce your overall house-hold spending. However, you must think carefully before doing so.
If you would like to know how much equity you could release and what it will cost you each month, call us at Deal Direct on 0800 048 8828. We can review your current mortgage offer, and in addition to helping you release equity, we can also help you switch to a lower rate deal so that you can keep your repayments at a similar level to what they are now.
Debt consolidation is not always the most suitable option, consolidating debts must be carefully considered. It will usually mean more interest over a longer repayment term and there may also be early repayment penalties on your current mortgage. You should therefore think carefully before securing other debts against your home. There are other ways to manage debt such as free debt advice charities, you can find out more by contacting the Money Advice Service these services may be more suitable for you
For advice and a mortgage renewal offer,
call us on 0800 048 8828.
