When your mortgage deal is nearing its end, it’s time to consider your next move. Should you stay with your current lender and switch to one of their new products—or remortgage to another lender for potentially better terms?

At Mortgage321, we help clients navigate this crucial decision every day. It’s not just about chasing the lowest rate—it’s about understanding the full picture. Here's a breakdown of how to assess your options and why using a specialist broker like Mortgage321 can make all the difference.

What Is a Product Switch?

A product switch (also called a rate switch or product transfer) is when you stay with your existing mortgage lender but move to a new deal—usually when your current fixed or discounted rate is due to expire. The main benefits are:

No legal or valuation fees (in most cases)
Quicker and simpler process—no full underwriting or legal work
No need for affordability reassessment in many scenarios

What Is a Remortgage?

A remortgage means moving your mortgage to a new lender, often to take advantage of a lower interest rate, raise additional capital, or change the mortgage terms. While this can unlock better pay rates, it also involves:

A full application process (including income verification and credit checks)
Legal and valuation fees (some lenders offer incentives to cover these)
Longer completion times

How to Assess Which Is Right for You

1. Compare True Cost, Not Just Rate

A lower interest rate from a new lender might look appealing—but once you factor in legal costs, valuation fees, and possibly a broker fee, it may end up costing more than staying put.

2. Consider Your Current Circumstances

If your income has changed, your credit profile has weakened, or you're now self-employed with complex income, it might be more difficult to secure a remortgage. A product switch could be the safer and quicker option.

3. Factor in Timing

Remortgaging can take 4–8 weeks or more. If your current deal is about to expire and you're heading for the lender’s higher Standard Variable Rate (SVR), a product switch can offer immediate protection.

4. Think Beyond the Headline Rate

The cheapest pay rate doesn’t always win. Consider:

Early repayment charges
Product fees (and whether they can be added to the loan)
Fixed rate period length
Flexibility (e.g. overpayments, portability)

Pitfalls of Assessing the Market Yourself

We regularly help clients who have spent hours scouring comparison sites or speaking to lenders directly—only to hit roadblocks such as:

Misinterpreting eligibility criteria
Overestimating savings due to hidden costs
Wasting time with declined applications due to affordability or credit issues
Missing specialist lenders who don’t deal with the public directly

Why Use Mortgage321?

At Mortgage321, we don’t just search the market—we strategically assess your unique situation. With over 30 years of experience, we specialise in:

Complex cases—self-employed, credit issues, unusual property types
Tailored advice that weighs up product switch vs. remortgage properly
Maximising borrowing potential while keeping costs in check
Client-first service—we handle the paperwork, lender liaising, and everything in between

Most importantly, we compare both options: the deals offered by your current lender and what’s available across the broader market. In many cases, we recommend staying with your lender if that’s the most cost-effective option—and we’ll tell you that upfront.

In Summary

A product switch can be a smart move if speed, simplicity, and minimal fees are key. A remortgage may suit you better if you’re seeking additional borrowing or your lender’s products aren’t competitive.

But the key is getting expert advice tailored to your situation. At Mortgage321, we specialise in cutting through the confusion and helping you make a confident, informed decision—without falling into costly traps.

Ready to review your mortgage options?

Let Mortgage321 do the legwork and secure the right deal for you. Whether you’re a first-time buyer, seasoned landlord, or self-employed professional, we’re here to help.

📞 Call us today on 01255 440142 or complete our quick online enquiry form to get started.

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