How to secure successful re-mortgaging in the credit crunch

Posted under Advice by Alan

Welcoming the downward trend in mortgage interest rates, buy-to-let investors and property owners need to get organised to clinch best deals from lenders and banks during current credit crunch.

Delay could mean that borrower was in position to revert to lender’s variable rate at the time of re-mortgaging. The Property Owners Directory has cautioned that re-mortgage products were very few and delay on borrowers’ part could lead to loss of opportunity in the tough market.

There are around 1.4 million mortgage deals that would end in 2008 and all would be looking for re-mortgage, as reported by the Financial Services authority.

The Bank of England recently reported that number of loans for re-mortgage in July had fallen to 69,000 down from 80,000 in June.

Property owners should hasten up the process for re-mortgage as soon as they come across a good deal while ensuring to complete legal formalities efficiently. If the documentation is readied earlier, the lawyers would be in position to complete legal process quickly and secure the deal with the lender.

A lawyer would need documents like Planning Permission, Buildings Regulations Completion Certificate for already carried out alterations and a copy of tenancy agreement in case of rented property.

Published tips for re-mortgaging are available with Property Owners Directory.

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