Herald - Issue 411

26th August 2021 • The HERALD • Page 51 v SAY YOU SAW IT IN THE HERALD v Tel: 023 8254 7600 TMT House, 12 The Marsh, Hythe, Southampton, SO45 6AL enquiry@tmtlegalservices.co.uk www.tmtlegalservices.co.uk Your Local Legal Specialists PROPERTY & CONVEYANCING SERVICES We specialise in Property Services from buying your new home to investment portfolios and newbuilds. Call the Team on 023 8254 7600 or visit our website for our online quotation tool where you can also instruct us ASK A PROFESSIONAL Save Money by Re-Mortgaging in 2021? by Sue Johnstone, Busy Bees Mortgages British homeowners could save an average of £169 a month by re-mortgaging to a xed-rate deal at today’s low rates, according to research. is gure equates to an annual saving of over £2,000, yet almost 9 in 10 borrowers haven’t thought about switching lenders. In March 2020, at the start of the pandemic, the Bank of England base rate was cut to a record low of 0.1% in a bid to reduce the pandemic’s impact on the economy. e move hit savers hard, but homeowners have potentially stood to bene t. Embarking on a cost- cutting exercise As the economic repercussions of the pandemic have continued to be felt, just under three-quarters (70%) of homeowners began 2021 with the aim of reducing spending and getting their nances into good order for the year ahead. However, while smaller cost-cutting exercises such as switching energy provider (33%), reducing takeaways (60%), and eliminating takeaway co ees (29%) have featured high on the list, only one in 10 say they have considered re-mortgaging as a means of reducing expenses. is is despite 84% saying their mortgage is their biggest monthly outgoing. e research highlights several reasons why homeowners are hesitant about switching to a new mortgage deal, including: ‘I’m content with my current rate’ - Over half of respondents claim they are already happy with the current rate they are paying. Yet switching to a more competitive rate could save around £2,000 a year, so considering your options seems sensible. ‘I want to avoid fees’ - A further 16% cite concerns about ‘unnecessary fees’ and 15% believe they cannot re-mortgage due to Early Repayment Charges (ERC). We can help you fully understand the costs involved and assess whether it’s more cost-e ective to pay an ERC to leave your current mortgage deal early and secure a lower rate, or not. ‘It’s too stressful’ - A quarter of homeowners believe the process of re-mortgaging to be daunting or too stressful (12%). However, we can help you nd the most suitable mortgage for your needs and take you through the process one step at a time. We can liaise with your lender on your behalf. ‘It takes too long and not sure where to start’ - Around 14% of homeowners say the re-mortgaging process takes too long. We understand that navigating your way through the mortgage maze can feel overwhelming, but we can help guide you and drastically reduce the time it takes to switch to a new deal. Time well spent If you’re interested in considering your options when it comes to re-mortgaging, don’t hesitate to get in touch to see how we can help. Spending a little time with us could potentially save you money on what’s likely to be your largest monthly outgoing. Your home may be repossessed if you do not keep up repayments on your mortgage. You may have to pay an early repayment charge to your existing lender if you re-mortgage.