How to avoid the standard variable rate and find a better deal before your fix ends.
Remortgage Guide
The most common reason to remortgage is to avoid reverting to your lender's Standard Variable Rate (SVR). SVRs are set by each lender at their discretion and are typically 2–4% higher than the best available fixed rates. Reverting to an SVR for even a few months costs many borrowers hundreds of pounds unnecessarily.
Most fixed-rate mortgages allow you to lock in a new rate up to six months before your current deal ends, with the new rate activating on your existing deal's end date. This means you can secure today's rates without paying any early repayment charges (ERCs).
Most fixed-rate and discounted-rate deals carry ERCs if you leave before the deal period ends. These typically range from 1–5% of the outstanding balance — on a £300,000 mortgage, a 2% ERC is £6,000. ERCs are almost never worth paying unless you have a compelling reason to switch immediately.
A product transfer means staying with your current lender and switching to a new rate they offer. It is faster, involves minimal paperwork, and requires no new valuation or solicitor. It is often the right choice if your circumstances have changed (for example, self-employment income that is harder to evidence) or if the savings from switching lender are marginal after costs.
Your loan-to-value (LTV) is the ratio of your outstanding mortgage to your property's current value. The lower your LTV, the better the rates available to you. If your property has increased in value since you bought it, you may now sit in a more favourable LTV band — for example, moving from 75% to 70% LTV can unlock a meaningfully lower rate.
For a full remortgage application, lenders typically require recent payslips (3 months for employed borrowers), P60s, bank statements, and proof of identity and address. Self-employed borrowers will need SA302s or tax calculation documents for the most recent two to three tax years.
