Flexible remortgage with no early repayment charge to accommodate the clients’ future needs.

Low 0.75% mortgage rate achieved in a rising market.

Clients delighted with broker understanding of their remortgage requirements.

The client

Existing clients of Rose Capital owned a property valued at £700,000 with a current mortgage of £190,000. They were looking to remortgage in a way that left their options open should they move home in the near future.

 What was needed

The clients were unsure of their plans over the next couple of years as they were undecided whether they would be selling or letting their property within this timescale and needed a flexible remortgage arrangement.

 What was the challenge?

Mortgage rates are expected to rise over the course of the next few years so a fixed-rate mortgage would normally be a favoured option, however, for these clients, flexibility outweighed mortgage rate uncertainty. The clients’ existing lender offered a highly competitive retention tracker with no early redemption charges, however, the lender’s Consent to Let had drawbacks: the lender loads the interest rate by 1% as well as charging administration fees.

How we provided the solution

The clients consulted Bethany Smith, Associate at Rose Capital Partners, to understand how they could obtain the flexible remortgage offer they needed.

Due to the uncertainty of the client’s plans, Bethany placed the case with a lender who also offered a tracker mortgage product with no early redemption charge. In addition, Bethany chose this lender because they offered a more favourable Consent to Let policy than that of their existing lender, so if the clients did end up moving to a Buy to Let mortgage, they would not be unduly penalised.

The clients were extremely grateful to Bethany as they were able to retain mortgage flexibility, meet their remortgage goals, and achieve a highly competitive interest rate.

What was the rate?

The rate was a 2-year tracker at 0.75%