How early can I remortgage?

How early can I remortgage without a charge?

Most lenders let you secure a new deal up to six months before your current one ends. The new deal starts on your end date, so you pay no early repayment charge, and the offer usually stays valid for around six months, which protects you if rates rise in the meantime.

Some lenders open their product transfer deals later, often three or four months before the end date, and a few allow longer. Your mortgage offer or your lender can tell you exactly when your window opens.

If rates change after you secure a deal

If rates rise after you secure a deal, your offer usually protects you. If they fall before your new deal starts, it is often possible to switch to a lower rate, with your lender or by applying elsewhere, although some lenders charge fees to change. An adviser can keep an eye on this for you. Theo’s rate reading shows which way the market is moving every weekday.

Remortgaging earlier than six months

You can leave a deal at any time, but during a fixed or discounted deal you would usually pay an early repayment charge, often between 1% and 5% of the balance. It only makes sense if the saving from a lower rate over the rest of your deal is bigger than the charge, plus any fees.

How long remortgaging takes

A product transfer with your current lender can take days, and usually no more than two weeks. Moving to a new lender usually takes four to eight weeks, because it needs a full application, a valuation and legal work. Starting at six months leaves plenty of time for either. See how remortgaging works and product transfer or remortgage.