Homeowners Could Be Missing the Opportunity to Save Substantial Money
Homeowners that obtained a mortgage just a few years ago benefitted from low interest rate choices. Perhaps the lowest interest rates they will ever again have a choice of and as long as their mortgage term is active they will continue to benefit from the low interest rate. However, once their term is over they either must remortgage or their lender will move them to what is known as the lender’s standard variable rate or SVR. In comparison to the interest rates of two or more years ago to today’s SVRs the rates could be vastly different.
According to reports, SVRs of today could be twice that of a homeowner’s current mortgage interest rate. That is why experts encourage homeowners to shop around for a remortgage. Rather than pay more on a SVR it could be possible to find a remortgage that offers savings.
Lenders are still very competitive and are offering attractive deals to homeowners looking to remortgage. Fixed interest rate remortgages could help a homeowner escape the higher interest rates of an SVR as well as other interest rate hikes that are possible in the coming years.
Shopping around for a remortgage is quite easily done online and the action could offer helpful information in making a decision when considering options once a homeowner’s mortgage deal ends.
Rather than paying more than necessary, it could help save money for years, and maybe a substantial amount, by simply shopping for a remortgage.