When homeowners go shopping for a remortgage they are usually centered on finding the lowest interest rate possible. The interest rate determines the cost of borrowing. Finding a lower interest rate will make borrowing cheaper. In turn, a cheaper cost to borrow can equate to lower monthly repayments or the ability to pay off the debt sooner by keeping the repayments close to their usual amount. Overall, the interest rate is important because it determines how much it will cost the borrower to borrow from the lender.

However, when seeking out a remortgage, it could be a better choice to pass over the lowest interest rate remortgage and choose one slightly higher. 

The lowest interest rates are often associated with higher fees. The fees could erase the savings of the lowest interest rate. Choosing a remortgage deal with a higher interest rate could have the homeowner paying a lower fee or no fee at all.

Combining the savings of the lower interest rate as well as any other costs involved such as the fee, evaluations, or legal costs will reveal the true savings of a deal. 

Shopping around offers a homeowner the ability to find the right deal which could offer a lower interest rate than they are used to having to pay on, no fee or a low fee involved, and perhaps incentives like free evaluations and legal fees. It could offer a substantial savings to do a bit of shopping to find the best deal.

Shopping for a deal with a remortgage broker could be helpful as well. Brokers work with many lenders. Rather than working with just one lender in looking for the best deal, a broker works with many. They will often have deals that lenders offer exclusively to them and not to the general public. Also, brokers often have firsthand knowledge as to which lenders will work with homeowners that have complicated remortgage needs. For many homeowners, a remortgage broker will be the path to the best savings deal.

While the lowest interest rate will offer savings, it could be very smart to look at a deal beyond the interest rate and pay attention to the fees and costs that will be involved. By taking savings and costs into consideration the homeowner could discover the best savings overall.