Remortgaging is the process of switching from one mortgage supplier to another. Even though you’re not moving house, when you remortgage, you will need to instruct a conveyancer. Your remortgage conveyancer will carry out the legal work on your remortgage including making updates to the title deeds and land registry.
Do I need a conveyancer when I remortgage?
When remortgaging with your current provider, also known as a product transfer, you won’t need to appoint a conveyancer, this is because all of the mortgage details that the Land Registry need, remain the same. However, if you are changing mortgage providers, due to the legal work involved, you will need to instruct a conveyancer. They will ensure that your new mortgage is registered against the legal title of your house with the Land Registry.
Get a quote for your conveyancing using our online remortgage calculator.
Read here for more information on the role of a conveyancer.
The 10 steps of the remortgage conveyancing process:
Read below to find out more about conveyancing steps you’ll go through when you remortgage a house:
Step 1 – ID Checks
Your conveyancer will ask you for proof of ID. It’s important to note that whilst your lender may have done this with you for their own checks, your conveyancer will also need to check your ID to comply with their own regulations and compliance under anti money laundering laws.
Step 2 – Review your existing mortgage
They’ll gather details of your current mortgage, particularly a redemption statement. This will tell them what amount is outstanding, whether there are any early redemption or early exit fees and when these will expire.
Step 3 – Check leasehold terms (if relevant)
If your property is leasehold, your conveyancer will check the terms of the lease and the term remaining on it to make sure it’s compliant with your new lender’s requirements. They will also contact your landlord/management company to obtain some necessary information and notify them about your existing and new mortgage.
Step 4 – Property searches
Some mortgage lenders are happy with taking out indemnity insurance that protects them during the conveyancing transactions when remortgaging a property, however, in some cases, your new lender may want you to conduct searches on your property Taking out searches can make the transaction slower and be more costly, in either case, your conveyancer will take care of the process and inform you of any potential payments.
Step 5 – Review the property valuation
Your new mortgage lender will value your property and will usually provide you with a copy of the valuation within the mortgage offer. They may also provide this to your conveyancer at the same time.
Step 6 – Check the terms of the mortgage offer
Your conveyancer will then check through all the fine print and terms on your mortgage offer, raising issues with both yourself and the mortgage lender as they arise.
Step 7 – Sign the remortgage offer
Once you’re happy with the terms of your remortgage, your conveyancer will need you to sign the new mortgage deed along with any other documents required by your new lender. Try to return these to your conveyancer as quickly as possible, to avoid any delays.
Step 8 – Completion
On the day the funds are received from your new mortgage, your conveyancer will use these funds to pay off your existing mortgage.
Step 9 – Send remaining funds
If any funds are due back to you, your conveyancer will send this balance to you.
Step 10 – Registering the changes with the Land Registry
Once confirmation is received that your old mortgage has been paid, your conveyancer will update the Land Registry that a remortgage has taken place, as well as providing proof of this to your new lender.
How long does it take to complete the conveyancing process when remortgaging
Being simpler than a standard purchase or sale, the remortgage conveyancing process usually has a shorter time frame. The conveyancing process is likely to take around 4-8 weeks. With this being said, as you need to have your new mortgage in place before the end of your current term, you should start reviewing new mortgages and conveyancers around six months prior to the end of your mortgage contract.
What are the conveyancing fees when remortgaging?
When using a conveyancer to remortgage, you will have their legal fees to pay, which are usually between £200-£400. You will also have other fees to pay your conveyancer including, but not exclusive to, ID verification, telegraphic transfer, land registry fees and searches such as HMLR and bankruptcy. Read our article to find out more about the other remortgaging costs you will have to factor in or get a remortgage quote.
Disclaimer: This article is for informal and general advice on remortgaging
