Find out how easy it is to switch your mortgage to YBS | Mortgages | YBS
Applying for a remortgage
Looking to switch your mortgage?
When you decide it’s time to remortgage your property, it’s important to familiarise yourself with the process first. Understanding the remortgage process before you commit to a new deal will help you decide if it’s right for you.
For instance, a new mortgage deal that reduces monthly payments might look attractive initially, but you may need to consider Early Repayment Chargesor other additional fees when you switch.
Take a look at our new Applying for a Remortgage video guide.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON YOUR MORTGAGE.
How long does a remortgage take?
Doing your remortgage application online with us can be quick if you have everything you need for reference. If you don’t have all the correct documents to hand in advance, it can slow the process down. Get your documents together and our experience shows the Application in Principle element of the process takes approximately 10 minutes, whilst the Full Mortgage Application process can take 15 minutes.
How to remortgage with Yorkshire Building Society
The remortgage process involves switching from your current mortgage lender to another to replace your existing mortgage. You can also use a remortgage to borrow extra money using the equity in your home. Here we explain the application and process, but if you’re ready to start, you can search for the right mortgage deal for you now.
As well as the main benefits of remortgaging, there may be other incentives available. Some of our mortgage products come with a Remortgage Legal Service which will cover the legal costs of moving your mortgage to us, and free standard valuation, which covers the standard mortgage valuation cost on selected products:
Free standard valuation
On selected products, we'll cover the cost of a standard valuation. Please note that this excludes second or subsequent valuations and does not include homebuyer's surveys, building and structural surveys or specialist reports. If you decide to change the loan amount you need after we have the valuation, you may be asked to cover the costs of a new valuation.
Remortgage Legal Service
On selected products, we'll cover the legal costs we've agreed with Optima Legal for properties in England & Wales, or LMS* for properties in Scotland & Northern Ireland, to complete your remortgage. On a typical remortgage there shouldn’t be any other additional costs, but it's worth noting in some circumstances additional work will be required that isn’t covered under the remortgage legal service and you will need to pay for this. Typical examples of this include:
- Where there is a second charge on the property.
- Where ownership of the property is changing at the same time as the remortgage (Known as a Transfer of Equity).
- If the property is Leasehold, the costs of notifying the Landlord/management company about the remortgage.
- Dealing with any restrictions on the Title
These are just a few examples of where you may incur additional costs so you should ensure that you read your paperwork carefully and are clear about any fees payable. The solicitor will always contact you to advise you if there is additional work and explain the costs. You can then decide whether or not to proceed.
You can only take advantage of our remortgage legal service if you apply directly with us and not through a third party.
*Yorkshire Building Society chooses to introduce its customers to Optima Legal and LMS for its remortgage Legal Services. Legal Services are not regulated by the Financial Conduct Authority.
Before you apply for a remortgage
Your personal circumstances and whether or not you can afford a mortgage is just as important for a remortgage as it is for a house purchase.
You’ll need to be prepared for the following:
Documentation: for reference while you apply such as you’re your employers address and details and pension information.
Income and outgoings: You’ll need evidence of your income and outgoings e.g. payslips, household bills and debt repayments.
Credit checks: All mortgage providers will also perform a credit check as part of the application so it’s a good idea to check your own credit report before applying. For the Application in Principle we only use a soft foot print on your credit report; this won’t affect your credit rating. We will do a full credit check with your Full Mortgage Application, just as all other mortgage lenders do.
Affordability: They will also need to make sure that you can afford the new mortgage now and in the future (should interest rates rise).
Eligibility: Before starting a remortgage application with us? you should refer to the information on our mortgage lending criteria and how your income/expenditure affect your application.
Conveyancing: You will need a solicitor or licensed conveyancer to carry out the necessary legal work. You can find out more about what is involved on our Conveyancing and mortgages guide.
How to remortgage: step by step
Follow these 6 simple steps to apply for a remortgage with:
1. Value your property
A good first step is to get an up to date valuation of your property as this may have changed since you moved in. Depending on the value of the property, you may find that you have more mortgage deals to choose from and you could get a better interest rate than your current mortgage deal. It’s important to be realistic about the value of your property because we’ll also request a valuation to be carried out as part of your application.
2. Check your existing mortgage
Check when your current mortgage deal ends and when you will be eligible for a new deal. You should also look into whether there are any charges to move from your existing mortgage deal. You can ask your Lender to send you a redemption statement which will tell you how much it will cost to repay your mortgage, including any Early Repayment Charges (ERCs).
3. Affordability check
The next step is to look at how much we can lend you and how much the payments would cost – this will allow you to compare it with your existing mortgage to make sure it’s affordable. Use our borrowing calculator to get an idea of how much we would be prepared to lend to you, or our repayment calculator to show how much the repayments for a new mortgage deal would cost.
4. Get a lending decision
You can get an online lending decision on your remortgage from us in just 10 minutes (this is also known as an ‘Approval in Principle’). We’ll take some details about your circumstances, income and outgoings and this will enable us to tell you if we would be prepared to lend to you and how much we would lend.
5. Search for a remortgage deal
Our remortgaging page lists all our current remortgage deals. You will just need to enter the current value of your property and the outstanding mortgage amount and term and we’ll then search our mortgage range to present you with the most applicable deals. You can filter this list to help find the best product for you.
When you’ve obtained a successful Approval in Principle and have found a suitable remortgage deal, you’re ready for the full application process. You can apply online, or if you need advice, over the phone. The application will allow us to take some further details about you and your remortgage needs plus we’ll arrange a valuation of your current property. You should refer to our information on mortgage fees and charges before beginning an application.
Call us or book an appointment
Speak to one of our friendly mortgage advisers about your options.