Mortgage Calculators
Remortgage Calculator
A lower rate is not automatically a saving. Compare the two deals properly, including the fees, over the period you would actually be on the new rate.
- Monthly saving between two rates
- Total saving after fees
- When fees outweigh the benefit
- Whether a product transfer is the better route
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Does not include any early repayment charge on your current deal, which has to be covered by the saving before you are better off. This is an estimate based on typical lender criteria and current rates. It is not advice, a recommendation, or an offer of credit. What you can actually borrow depends on your circumstances and the lender's own assessment.
Comparing properly, not just on rate
Headline rates are marketed without their fees, and on smaller balances a product fee of £999 or £1,495 can cancel out a lower rate entirely. The right comparison is the total cost over the period you will be on the deal, not the rate on its own.
A product transfer with your existing lender is the option most people overlook. You stay put on a new rate, and because you are not a new customer there is usually no new affordability assessment and no fresh credit check. If your circumstances have worsened since you took the mortgage out, that can matter more than the rate itself.
Timing matters too. Most offers can be held for three to six months, so starting three months before your fixed rate ends lets you secure a rate and still switch if something better appears. Leaving it until the deal ends normally means falling onto the standard variable rate.
When the lower rate is the worse deal
Two products on a £150,000 balance over 20 years. Product A is 4.29% with a £1,495 fee. Product B is 4.59% with no fee. Product A costs about £929 a month, Product B about £955, so A looks £26 a month better. Over a two year fixed period that is £624 of saving against a £1,495 fee. Product B, the higher rate, is roughly £871 cheaper across the deal period.
Flip the balance to £400,000 and the picture reverses completely, because the same rate difference is being applied to a much larger sum while the fee stays fixed. This is why the fee-versus-rate question has no general answer, only an answer for your balance and your deal length.
The comparison also has to include what you are leaving. If your current deal carries an early repayment charge of 3% on £150,000, that is £4,500, and very few rate differences justify paying it. Waiting until the charge steps down, or until the deal ends, is often worth more than any product on the market.
Why a product transfer is worth checking first
A product transfer is a new rate with your existing lender. Because you are not a new customer there is normally no fresh affordability assessment and no new credit search, which matters a great deal if anything has changed since you took the mortgage out: reduced income, a move to self-employment, a new dependant, or adverse credit that has appeared on your file.
The trade-off is choice. Your existing lender offers what it offers, and that may not be the best rate available. On a clean file with unchanged circumstances, a full remortgage usually beats a transfer. On a file with a recent default, a transfer that asks no questions can be worth considerably more than a slightly lower rate you may not qualify for.
An adviser should be comparing both routes as a matter of course. If you are only ever shown whole-of-market products, or only ever shown your existing lender’s retention range, you are seeing half the picture.
Where to go next
Independent sources
- MoneyHelper on remortgaging — Free and impartial guidance on switching deals
- MoneyHelper comparison checklist — The costs to compare besides the rate
Tell Us About Your Current Deal
Tell us your rate, when it ends and roughly what you owe. That is enough for us to say whether switching is worth it, usually in one conversation.
Enquiry Form
Tell us about your situation and we'll get back to you with tailored advice.
Read More Before You Switch
The saving here assumes you switch. These pages cover how and when to do it.
Remortgage Advice
Coming off a fixed rate, raising capital, or moving away from your current lender.
Home Mover Mortgages
Porting, extra borrowing and timing when you are moving to your next home.
Find out if switching actually saves you
A lower rate is not automatically a saving once the fees are counted. Send us your current deal and we will compare it properly.
Frequently Asked Questions – Remortgage Calculator
When should I start looking at a remortgage?
Around three to six months before your current deal ends. Offers can usually be held for that long, so you can lock a rate in early and still move if something better comes along before completion.
Is a lower rate always worth switching for?
No. Fees, legal costs and any early repayment charge on your current deal all have to be covered by the saving before you are better off. On smaller balances a fee-free deal at a slightly higher rate often wins.
What is a product transfer?
Taking a new rate with your existing lender rather than moving to a new one. It is usually quicker, normally involves no new affordability assessment or credit check, and often has lower or no fees. It is particularly useful if your circumstances have worsened.
Can I remortgage with bad credit?
Often yes, though the choice of lender narrows. If the adverse appeared after you took the current mortgage out, a product transfer with your existing lender is frequently the stronger route because it avoids a fresh credit assessment.
Does remortgaging affect my credit file?
A full remortgage application involves a hard credit search, which is recorded and visible to other lenders for a period. A product transfer with your existing lender usually does not. Multiple hard searches in a short window can look like distress borrowing.
Can I borrow more when I remortgage?
Yes, subject to affordability and the loan to value. Raising money on a remortgage is common for home improvements or consolidating debt, but consolidating unsecured debt onto a mortgage secures it against your home and usually costs more over the full term.