The Do's and Don'ts of Remortgaging Your Property

★ Key Takeaways

• Start the remortgage process 3-4 months before your current deal expires
• Always check early repayment charges before switching - they can wipe out savings
• Don't assume the cheapest rate is the best deal - consider fees and flexibility
• Work with a mortgage broker for whole-of-market access
• In Scotland, understand the Standard Security legal process

Remortgaging is one of the most significant financial decisions a homeowner can make. Done well, it can save you thousands of pounds, release equity for home improvements, or help you consolidate debts. Done poorly, it can cost you money in fees, leave you on an expensive rate, or even put your home at risk.

In 2026's evolving mortgage landscape – where lenders have become more cautious and rates have settled after years of volatility – getting your remortgage right is more important than ever. This comprehensive guide walks you through the essential do's and don'ts of remortgaging, with specific guidance for homeowners in Scotland.

Remortgaging means switching your existing mortgage to a new deal – either with your current lender (a product transfer) or by moving to a different lender entirely. It's essentially replacing one mortgage with another, usually to secure better terms.

Why Do People Remortgage?

There are several compelling reasons why homeowners choose to remortgage:

• Avoid the Standard Variable Rate (SVR) – When your fixed-rate deal ends, you'll typically roll onto your lender's SVR, which is almost always more expensive
• Secure a better interest rate – Market rates change constantly, and a better rate could mean significant monthly savings
• Release equity – If your property has increased in value, you can borrow against this equity for home improvements, investments, or other purposes
• Change your mortgage terms – You might want to extend or shorten your term, switch between repayment and interest-only, or change other features
• Consolidate debts – Rolling high-interest debts into your mortgage can reduce overall monthly payments (though be cautious about the total cost over time)

Following these best practices will help ensure your remortgage goes smoothly and delivers the best possible outcome.

DO: Know Your Fixed-Rate End Date

One of the most important dates in your financial calendar is when your current fixed-rate deal ends. If you don't remortgage before this date, you'll automatically move onto your lender's Standard Variable Rate – which could be significantly higher than your current rate.

Start planning 3-4 months before your deal ends. This gives you enough time to explore options, submit applications, and complete the process without rushing. Most mortgage offers are valid for 3-6 months, so you can secure a new rate in advance.

DO: Understand Your Loan-to-Value Position

Your Loan-to-Value (LTV) ratio – the percentage of your property's value that you're borrowing – significantly affects the rates available to you. Lower LTVs typically qualify for better rates.

Since you took out your original mortgage, your property may have increased in value whilst you've been paying down the capital. This means your LTV has likely improved, potentially giving you access to more competitive rates than you had before.

DO: Check for Early Repayment Charges

Before making any moves, check whether your current mortgage has Early Repayment Charges (ERCs). These are fees charged if you pay off your mortgage during a fixed-rate or discount period – and they can be substantial, often 1-5% of the outstanding balance.

Calculate whether the potential savings from remortgaging outweigh the ERC costs. Sometimes it's worth waiting until your current deal ends; other times, the savings justify paying the charge.

DO: Get Your Paperwork Ready

Lenders will need to verify your income, outgoings, and identity when you apply. Having documents ready speeds up the process considerably:

• Recent payslips (typically 3 months' worth)
• Bank statements (3-6 months)
• Proof of identity (passport or driving licence)
• Proof of address (utility bills, council tax statements)
• Details of your current mortgage

If you're self-employed, you'll typically need 2-3 years of accounts or tax returns.

DO: Get an Agreement in Principle First

Before committing to a full application, get an Agreement in Principle (AIP) from potential lenders. This confirms how much they're willing to lend you in principle, based on an initial assessment. Most AIPs use soft credit checks that don't affect your credit score.

An AIP gives you confidence that your remortgage is likely to be approved before you incur any costs or make formal applications.

DO: Work with a Mortgage Broker

A whole-of-market mortgage broker can search thousands of deals across multiple lenders to find the best options for your circumstances. They understand lender criteria, can identify which lenders are most likely to accept your application, and handle much of the paperwork for you.

Brokers also have access to exclusive deals not available directly to the public, and can often negotiate better terms or faster processing with lenders they work with regularly.

DO: Understand Scottish Legal Requirements

If you're remortgaging a property in Scotland, be aware that the legal process differs from England. In Scotland, your mortgage is secured through a Standard Security – a legal document that gives the lender rights over your property.

When switching lenders, a Scottish solicitor must handle the legal work to discharge the old Standard Security and register the new one. The process typically takes around 4 weeks and involves legal fees, so factor this into your timeline and budget.

Avoiding these common mistakes can save you money, stress, and potential problems with your remortgage.

DON'T: Ignore Early Repayment Fees

As mentioned above, Early Repayment Charges can significantly eat into – or completely negate – any savings from remortgaging. Always calculate the full cost before proceeding. For example, a 2% ERC on a £200,000 mortgage is £4,000 – you'd need substantial rate savings to justify that expense.

Some lenders also charge exit fees or deeds release fees when you leave – check your current mortgage terms carefully.

DON'T: Assume the Cheapest Rate is Best

Interest rates grab headlines, but they're not the whole picture. A mortgage with a slightly higher rate but no fees might actually cost you less than a rock-bottom rate with hefty arrangement fees.

Consider the total cost of the mortgage over the deal period, including:

• Arrangement fees (can be £500-£2,000+)
• Valuation fees (though many lenders offer free valuations)
• Legal fees (especially relevant in Scotland)
• Broker fees (if applicable)

DON'T: Miss Your Fixed-Rate End Date

This is perhaps the most expensive mistake remortgagers make. If your fixed deal ends and you haven't arranged a new one, you'll move to the SVR – potentially paying hundreds of pounds more each month.

Set a reminder in your calendar for 4-6 months before your deal ends. Even if you're on your lender's SVR right now, you can still remortgage – don't stay there longer than necessary.

DON'T: Overestimate Your Property Value

When planning your remortgage, don't assume your property is worth more than it is. The lender will arrange a valuation, and if it comes in lower than expected, it could affect your LTV and the rates available to you – or even derail your application.

Research recent sales of similar properties in your area to get a realistic expectation. Your mortgage broker can also help you gauge likely valuations based on their experience.

DON'T: Rush the Process

Remortgaging isn't something to rush. Take time to compare options, understand the terms, and make sure you're choosing a deal that genuinely suits your needs and circumstances.

In 2026's environment, thorough planning is rewarded. Lenders have become more cautious, meaning well-prepared applications with complete documentation move through faster and more smoothly.

DON'T: Apply for Multiple Mortgages at Once

Each formal mortgage application leaves a hard search on your credit file. Multiple applications in a short period can make you look credit-hungry and may affect your credit score – potentially harming your chances of approval.

Instead, use soft searches and Agreements in Principle to explore your options before submitting a single, well-targeted application. A broker can help you identify the right lender first time.

Remortgaging in Scotland follows a broadly similar process to the rest of the UK, but with some important legal differences:

Timeline and Steps

• Week 1-2: Research options, speak to a broker, get Agreement in Principle
• Week 2-3: Submit full application with supporting documents
• Week 3-4: Lender conducts valuation and underwriting
• Week 4: Mortgage offer issued
• Week 4-6: Solicitor handles legal work (discharging old Standard Security, registering new one)
• Completion: New mortgage starts, old mortgage is paid off

The whole process typically takes around 4-6 weeks in Scotland, though it can be faster for straightforward cases or slower if complications arise.

Solicitor Involvement

Unlike in England where conveyancing can sometimes be handled by licensed conveyancers, remortgaging in Scotland requires a Scottish solicitor. They'll handle:

• Discharging the existing Standard Security with your current lender
• Preparing and registering the new Standard Security with your new lender
• Title checks and searches
• Liaising with both lenders to arrange the fund transfer

Some lenders offer free legal work for remortgages, which can save you several hundred pounds. Your broker can help you find deals with this benefit.

A product transfer – switching to a new deal with your existing lender – is often simpler than remortgaging to a new lender. Consider this option if:

• Your current lender offers competitive rates
• You want to avoid legal fees and paperwork
• Your circumstances have changed in ways that might make a new application difficult (e.g., changed employment, reduced income)
• You need a quick solution and don't have time for a full remortgage

However, always compare product transfer rates against the wider market. Sometimes the convenience isn't worth the extra cost if better deals are available elsewhere.

Remortgaging can save you thousands of pounds – but only if you do it right. At McGhie Mortgages, we help homeowners across Scotland navigate the remortgage process, comparing deals from across the market to find the best solution for your circumstances.

Whether you're approaching the end of your current deal, stuck on an expensive SVR, or looking to release equity from your property, we can help you explore your options and find the right path forward.

Ready to explore your remortgage options? Book a free, no-obligation consultation with McGhie Mortgages today and let's find the right deal for you.