Should you move your mortgage to a new lender?
Posted 08/02/2023 10:33Many people could save a whole lot of money over the next few years by moving their mortgage from one lender to another. Here is our simple guide that explains why it is ALWAYS best to shop around for the best deal.
It's possible that your existing mortgage lender may offer you a better rate to stay with them, but there's no guarantee.
Your existing lender may be more willing to offer you a competitive rate if you have a good payment history and if they value your business.
However, it's always a good idea to shop around and compare offers from multiple lenders to see if you can get a better deal. Keep in mind that interest rates can change frequently, so it's always a good idea to check current rates before making a decision.
Here are some factors to consider:
- Interest rates: If interest rates have dropped since you took out your mortgage, you may be able to find a better deal by shopping around.
- Loan terms: If you're interested in changing the length of your loan term or converting from an adjustable-rate mortgage to a fixed-rate mortgage, a new lender may be able to offer you these options.
- Fees: Some lenders charge high fees for things like closing costs, origination, or prepayment penalties. Compare these costs between lenders to see if you can save money.
- Customer service: If you've had a negative experience with your current lender, or if you want a more personalised experience, you may want to consider switching to a new lender.
Ultimately, it's a good idea to shop around and compare offers from multiple lenders before making a decision. This way, you can make an informed choice that's right for your financial situation.