Remortgaging is the process of moving your mortgage to a new lender from your existing lender. People may choose to remortgage for a number of reasons, for example to pay off debts, to pay off the mortgage earlier or to reduce monthly payments.
With a remortgage you will require a Solicitor in the same way as you required a Solicitor when buying your property.
The remortgage legal process involves a number of steps that can take a number of weeks to complete. There are various documents required to be executed and gathered. Therefore it is recommended that you contact your Solicitor early if considering remortgaging to enable the documentation to be gathered as this will speed up the process following the issues of your loan pack.
By way of summary these are the main steps to be taken:
1. Title Deeds. Your title deeds are held with your previous bank. These will need to be obtained by your Solicitor and you must sign an Authority which will be sent to the Bank by your Solicitor. It can take a number of weeks for your existing bank to release those title deeds. Your Solicitor then reviews the title to make sure that all matters are in order.
2. Loan Documentation: The Letter of Loan Offer and pack will be sent to your Solicitor. Once your Solicitor has reviewed the title and is satisfied, they will meet with you to review the loan pack and explain the terms of your new mortgage. The documentation will be signed and funds can be requested.
3. Redemption Figures: The amount to redeem your existing loan must be ascertained also and your Solicitor will write to your existing lender to find out that amount. You will be asked to review the redemption figures to ensure that these are as you expect.
4. Drawdown: When the bank has received all relevant documentation, it will release the remortgage funds to your Solicitor.
5. Closing Searches: Prior to using those funds your Solicitor will carry out searches to ensure that nothing appears that will affect the property or that is registered against you as the Borrowers.
6. Redemption of Loan: Once the searches are clear your Solicitor will then redeem the existing old mortgage.
7. Registration of New Mortgage: Your Solicitor will then register the new Mortgage with the Property Registration Authority or Registry of Deeds as appropriate.
8. Return of Deeds: Following registration of your new mortgage, your Solicitor will lodge the Deeds with your Ban where they will be held as security for the term of your new Mortgage.
9. Cash Back: If there is a cash back element to your offer, once all of the steps have been taken to the satisfaction of the Bank, they will then release the cash back funds to you directly and are not processed through your Solicitor.
There is no time like the present to begin the process and you should not hesitate to contact this office to assist .