Experts are warning that a lending crunch could be coming this winter. Lenders are already pulling deals and interest rates are increasing. Rates have risen for the third consecutive month and the number of products on the market has been reduced for the fourth month in row. There are fewer remortgage and mortgage products available now than were available prior to the pandemic lockdown. Therefore, those homeowners looking to remortgage and home buyers looking to get on the property ladder with an attractive interest rate are advised to start shopping for a deal sooner rather than later.

It is quick and easy to shop online for a deal. Going to website from lender to lender will allow a borrower to gather quotes and determine what deals are available to them. A quicker path could be through a broker, as they work with many lenders. Also, brokers often have exclusive deals not offered from a lender to the general public. 

Experts also suggest that borrowers not focus solely on hunting down the lowest interest rate. There are other things to take into consideration. For instance, a homeowner should consider any fees associated with the remortgage. The lowest interest rate likely has higher fees. By looking at the remortgage as a whole, and considering both costs and savings the borrower will be advised as to the best deal for savings overall. 

Savings might not be the only thing a homeowner is looking for in a remortgage. They might be seeking a fixed rate for a long term, or they might be looking for the best deal that allows their built up equity into cash. No matter what is most important in a deal, by checking online the process can be easier and quicker.

Borrowers, whether for a remortgage or a mortgage, are encouraged to start the lending process as soon as possible. It is expected there will be fewer product options in the weeks and months ahead. There will also likely be stricter rules on borrowers. Most of all there should be a push to grab a low interest rate of today rather than wait out and have to accept a higher one of tomorrow as rates are expected to keep climbing.

Currently there are still lenders with attractive low rates and in a competitive mode. If a remortgage or mortgage is on someone’s priority list, it is best to move it to the top and start shopping around soon.