Posted on 3 September 2013 by Alma
I want to remortgage my home to buy another property, mortgage is paid off, how does the remortgage process work?
The re-mortgage process is very similar to the house buying process. You will need to have a conversation with a mortgage adviser to discuss your personal and financial situation, income details and finance requirements. Raising money on an unencumbered property (a property without a mortgage on it) is not something every lender does, and all of them will need to know the purpose of capital raising.
Following this discussion your mortgage adviser will then be able to recommend the best product and lender for you - and will submit a mortgage application on your behalf. The application will be fully assessed by the lender, valuation instructed and an offer will be issued on the final stage.
Quite often your broker may be able to recommend a deal with free valuation and free legals, where the lender covers the valuation and legal costs. The conveyancing solicitor appointed and paid by the bank will carry the last stage of the re-mortgage process and will request the funds from the lender which then will be sent to you.
Answers provided in response to Ask the experts are based on the information provided and do not constitute advice under the Financial Services & Markets Act. They reflect the personal views of the authors and do not necessarily represent the views, positions, strategies or opinions of John Charcol. All comments are made in good faith, and John Charcol will not accept liability for them.
We recommend you seek professional advice with regard to any of these topics where appropriate.