Borrowers who compare remortgage deals will still find cheap rates

Home-owners who compare remortgage deals are still managing to find cheap rates from lenders who continue to offer cheap mortgage products, despite increasing market caution.

Remortgaging can be helpful to home-owners who want to ensure that their household is ready for the coming year’s financial struggles. New figures show that unemployment levels rose in December 2011 and, the Chartered Institute of Personnel and Development has warned unemployment will not fall below 2.5 million until 2016. The Federation of Businesses surveyed their 1,200 members and found that 1 in 13 plan to lose employees in the coming year.

Equity cash release can help out a family's budget, however remortgaging will put a property at risk if the home-owner cannot keep up the monthly mortgage repayments. Borrowers who decide that now is the time act and compare remortgage deals, are still finding cheap products with lower interest rates. For the right home-owner situation, remortgaging can save on monthly costs which will help when facing a tough financial year.

Lenders like to see a proven track record. Those who already have a mortgage are preferred to first-time buyers who are struggling to meet the high deposit levels required. Incentives such as free legal fees, free valuations and cash back are often offered to home-owners as a means of attracting them to remortgage deals.

For some remortgaging may not be the best solution for their mortgage and debt problems. However, home-owners can save a lot of money if they compare remortgage deals to find the best rate on offer when replacing their existing mortgage product.