Guide To Re-Mortgaging
The process of re-mortgaging is whereby you take out a new mortgage and repay an existing mortgage. You may need to re-mortgage for a number of reasons to include releasing equity from your property or to repay off an existing mortgage because it has come to the end of its fixed interest rate or if you need to transfer the title to the property into different names, release a party from the mortgage and maybe release equity to pay money to the party being released from the mortgage. This is called a transfer of equity.
This guide is to provide you with an outline of the process involved in re-mortgaging your property and how the teams at Tollers can assist you.
Guide to re-mortgaging
Tollers are able to act for you in relation to re-mortgaging your home, buy to let properties and we can also act for Companies who are re-mortgaging their property portfolio.
Once you have instructed Tollers our team will obtain a copy of the title to your property and request a redemption figure from your current Lender. We will send you a copy of the redemption figure in order that you can approve the same. We will also bring to your attention if you have an early repayment charge and make enquiries as to when this expires should you wish to wait to complete your re-mortgage until the early repayment charge expires.
We will check if your intended new mortgage provider will require us to carry out a Local Search and we will advise you of the cost involved and arrange for the Local Search to be ordered, if required. Some mortgage lenders do not require a Local Search and instead they will accept a Local Search indemnity policy. This is an indemnity policy which we can obtain which insures the Lender against any entries that could adversely affect the valuation of the property that might have been revealed by a Local Search. This is a quicker and cheaper option than ordering a Local Search. Our teams will obtain a quotation for you and advise you of the cost. We will then order a water and drainage search and environmental search which the Lender require.
When the required search results are in we will report to you on the results.
Once the mortgage offer is in we will check the mortgage offer and report to you on the terms of the offer. We will check if there are any special conditions in the mortgage offer that need to be complied with. If the valuation report has not been sent to us with the mortgage offer we will ask you to send a copy to us and we will check it and deal with any issues which the valuer has asked in the report that we deal with. We may need to ask you for more documentation such as the planning permission and building regulation completion certificates for works that have taken place at the property.
At this stage, we will send you the mortgage deed for signing.
Once we are in receipt of all of the searches, the mortgage offer and your signed mortgage deed we will agree a completion date with you. We will then request the mortgage funds from your new lender and obtain an up to date redemption figure for your existing mortgage for the agreed completion date. We will then prepare a completion statement and send this to you to approve. If you need to pay us some money in order that your re-mortgage can complete we will supply you with our bank details and you can arrange to send the funds to us. We must have the funds the day before the completion date. If there are funds due to you on completion we will confirm with you how you want these funds sent to you.
On the day of completion we will complete the re-mortgage and redeem your existing mortgage and account to you with any funds due to you by your preferred payment choice.
After completion we will arrange to register the new mortgage with the Land Registry and arrange for your old mortgage to be removed from the title. Once the registration is complete we will schedule the deeds to the Lender and send you a copy of the completed registration and any documents which the Lender does not want to hold.
Talk to Tollers
Contact Tollers when you need to re-mortgage, we will be able to supply you with a competitive quotation. You can instruct Tollers at an early stage and we can commence the legal work in order that once your mortgage offer has been issued, we can report to you on the mortgage offer and are able to complete the mortgage quickly.