Releasing equity from your property with a remortgage can be one of the most cost effective ways to raise funds: with the continuing dramatic rise in property prices that has been seen in recent years it is an option that is becoming available to more and more people.
Equity is the difference between the value of your property and the debt secured against it: if your property value appreciates, and your mortgage is gradually being paid off, this difference grows, and you can access it with a remortgage. Because mortgage rates are typically lower than other loan rates, the monthly cost of a remortgage can be very favourable in relation to other means of borrowing money.
One point to note, on the other hand, is that borrowing money through a mortgage can cost far more in the long run, because mortgages are generally taken over much longer terms than, for example, personal loans.
One way to counter this, however, is to take out a flexible mortgage so that the additional borrowing can be paid off early through overpayments. In this way you can pay this additional borrowing off over the same term as you would, for example, a personal loan, but at a much lower rate.
As professional mortgage brokers, with access to a large number of lenders, we can source from the whole of the marketplace to help you find the most competitive quotes considering your individual situation and individual preferences.