Remortgaging to raise capital.
If you want to remortgage to raise funds, there are a few important steps you will need to take, and factors that must be considered.
Shop around to find the best rate. The best way to do this is through an independent ‘whole of market’ broker, who has access to all deals market-wide.
Depending on your reasons for releasing equity, some lenders maybe more willing to offer you a remortgage deal than others. After reviewing your circumstances, a specialist remortgage broker will know which lenders to approach, whose criteria you fit and who will be willing to accept your application.
If you are looking to raise capital, you will now need to go through a more rigorous application procedure than even a year ago. It’s no longer the case when borrowing extra cash that a lender will base approval on whether or not you fit the income multiple alone.
There are a few things you should do for 2 or 3 months running up to a remortgage application:
- Avoid erratic or heavy spending in the weeks before you apply.
- Don't apply for credit just before a mortgage.
- Don’t go overdrawn.
Other factors will be considered such as your spending habits, existing debt and outgoings. Prior to looking for a deal ensure you get your finances in order, to make sure you represent yourself on your application in the best possible light. To find out how to do this call us at Deal Direct on 0800 048 8828.
To find out about remortgaging to release equity,
call us at Deal Direct on 0800 048 8828.
