Remortgage

What is a Deed of Postponement?

• The client agreement to register the charge later

• A clients agreement to postpone the charge behind the primary lender

• A lenders agreement to register their charge later

• A lenders agreement to postpone the priority of their charge behind the primary lender

What is a Remortgage?

• When a homeowner takes out a new mortgage on their property to release equity and / or pay off an existing charge with a better rate

• Someone may not have a mortgage on their property and then decides to take out a mortgage

• When a client wants to add another person to the property Title

• When a client wants to sell the property to a new buyer

Why do clients want to remortgage?

• Better interest rate due to their current fixed term expiring

• Because the Estate Agents told them it would be a good idea to

• Raising money for home improvements or to pay off debt

• Transfer of Equity

Do we need to carry out Searches on a Remortgage?

• Yes always

• We would check 5.4.6 of the UK Finance Handbook to determine if the new lender requires them

• We never carry out searches and proceed with search insurance instead

• We would check with the Team Manager and take their instructions

What signed documents do you require from the client on a remortgage?

• TR1

  Contract

  Mortgage Deed

  Starter Pack

• Starter Pack

  Mortgage Deed

• Contract

  Starter Pack

  Mortgage Deed

• TR1

  Starter Pack

  Mortgage Deed

Is Stamp Duty payable on a Remortgage?

• Yes always

• Never

• Only if the remortgage is linked to a Transfer of Equity

• If the remortgage debt is above the Stamp Duty threshold