Re-Mortgaging

Refinancing for a home mortgage is the replacement of an existing mortgage debt with a newly mortgage arranged with another bank bearing different terms.

Why and when to refinance your existing mortgage loan?

Refinancing may be undertaken to reduce interest costs (by refinancing at a lower rate), to extend the repayment time, to pay off other debts, to reduce one's periodic payment obligations (often by taking a longer-term loan), to reduce or alter risk (such as by refinancing from a variable-rate to a fixed-rate loan), and/or to raise cash for investment or consumption.

Below you can see several most important reasons why to refinance your existing mortgage:

• Is your mortgage going to re-fix soon? Do not wait until your bank will announce you the rate expiration and offer you new one. They usually do so quite late not giving you enough time to arrange refinancing providing you are not happy with their offer. It is wise to look for alternatives at least 3 months before the rate expiration.

• Are you concerned about a risk of rising interest rates? You can lock the current special low rate now and refinance even up in 2 year time.  Now you get probably lower rate than your bank will offer you in 3, 6 or 12 months time as the market rates are record-breaking low during the last 2 years.

• Does your bank offer you a high rate to continue? We will arrange a lower rate than your bank offers to you for another fixation period.

• Especially in case you took out your mortgage 5 or more years ago there is a good reason to consider refinancing. At that time local mortgages for international clients were at its beginning and the terms were unfriendly and far away from what can be arranged now.

• You can now extend your repayment time by taking a longer- term loan (up to 40 years) and your monthly repayment will decrease significantly.  Then your rental income can easier cover your mortgage repayment.

• You can get rid of your current local life insurance facility in case the bank required it and you didn?t wish to set it up.

• You do not need to declare your income again and do not need to arrange a new appraisal of the property value in case you have the original one not being older than 5 years.

Cost of mortgage refinancing:

• We will arrange for all the paperwork and you do not need to pay any fee to the bank for the new mortgage

• Your bank cannot charge you any prepay fee or penalties because on the anniversary of the interest rate you are allowed to pre-pay or fully repay your mortgage free of charge.