Remortgaging can save you money, but getting your head around remortgage rates can be tricky. If you’re thinking of remortgaging your home in the UK, this guide will help you understand the basics without complicated jargon.
Remortgage rates are simply the interest rates lenders offer when you switch your existing mortgage to a new deal. Homeowners often remortgage to benefit from lower rates, saving significant sums over time. Rates depend on various factors, including the current economy, your credit rating, and your loan-to-value ratio (LTV).
There are several reasons homeowners across Britain choose to remortgage:
Remortgage rates can fluctuate regularly. In 2025, UK rates are still influenced by economic uncertainty, inflation levels, and decisions made by the Bank of England. At the time of writing, typical remortgage rates range between:
It’s crucial to compare multiple lenders as even slight differences in rates can save you thousands over the life of your mortgage.
Here are a few practical tips to secure the best rate available:
While a lower rate is attractive, always consider associated fees, including:
Make sure savings from your new rate outweigh these extra costs.
Remortgage rates are largely uniform across England, Scotland, Wales, and Northern Ireland. However, local housing markets and average house prices can influence the best type of mortgage deal for you. For example, urban areas like London or Manchester might see higher property values, affecting your LTV and consequently your available rate.
Yes, remortgage rates can vary slightly by region. London and the South East sometimes have slightly different lending criteria due to higher property prices. However, the actual mortgage rates themselves tend to be relatively consistent nationwide, with differences mainly influenced by your personal circumstances rather than your location.
You can remortgage with bad credit, but expect higher remortgage rates and fewer choices. Specialist lenders cater to people with poor credit histories, but it’s crucial to speak to a mortgage broker who can help you find the most affordable option available.
It can be worth paying fees to secure a lower remortgage rate, especially if your loan amount is high. Always calculate the overall cost (monthly payments plus fees) to decide if it’s genuinely cheaper over the full term of the deal.
Typically, remortgaging takes between 4 to 8 weeks, depending on lender processes, valuations, and your paperwork readiness. Starting early—around six months before your current deal ends—is strongly advised.
In some cases, yes—especially if you’ve found a cheaper deal elsewhere and your lender wants to retain your business. Don’t be afraid to discuss this with your existing lender or have a broker negotiate on your behalf.
Predicting exact interest rate movements can be tricky. If remortgage rates appear competitive and your fixed deal is ending, it’s generally best not to wait too long. Securing a rate now could protect you against future increases, even if rates do eventually fall.
Remortgaging involves replacing your existing mortgage deal, often for better rates or terms. Equity release, however, lets older homeowners access their property’s value without repayments until the home is sold. Remortgage rates are typically lower than equity release interest rates.
Yes, but it may limit your options. If your property value has decreased, your loan-to-value (LTV) ratio increases, potentially pushing up remortgage rates. Speak with a mortgage advisor to understand your choices clearly.
Not necessarily higher, but self-employed applicants often need to provide more evidence of income. Lenders might view self-employed borrowers as slightly higher risk, which can affect the rates offered. Good record-keeping and stable income can help secure better deals.
Yes, some UK lenders offer longer fixed-term mortgages, such as 7, 10, or even 15-year fixes. These longer fixes offer peace of mind but can come with slightly higher initial rates compared to shorter fixed-rate periods.
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