Specialist lending for remortgage cases

As the housing market sets to strengthen, remortgage cases stand out as being one of the busiest areas of business for brokers. Our database reveals that, on average, 39%+ of our mortgage cases month-on-month involve a remortgage. This was based on those who purchased a property vs those who remortgaged a property in Q1 of 2024. Despite client’s credit challenges, such as a bad credit rating or CCJs, remortgage options remain accessible with the help of Bluestone Mortgages. In this blog, we’ll delve into why a client would go down the remortgage route, explore the benefits of our fee-free remortgage range, and illustrate how we helped clients save money through our recent case study. If you want to skip a specific section, click on the following… 

• Reasons why client’s remortgage 
• Tell me more about your fee-free range 
• How we help customers save money (case study) 
• The specialist lending route to remortgages 

Reasons why client’s remortgage  

If your client is coming to the end of their fixed mortgage product in the next six months or is currently sitting on the standard variable rate, it’s worth reaching out to them if you are not already in contact to start the remortgage process. Remortgaging offers various advantages, including: 

• Accessing better interest rates, whether through introductory offers or improved rates due to a lower LTV resulting from increased property value 
• The option of utilising your home’s equity for additional cash 
• The flexibility to consolidate your debts into a single, affordable monthly payment 
• The option to extend a loan to a longer period and lower monthly repayments 

There is also the option to go through a product transfer for existing Bluestone Mortgages customers, which you can find more information about here. 

Tell me more about your fee-free range 

We’re here to help facilitate the ambitions of borrowers with different needs. Whether that be a borrower looking to consolidate debt or borrowers who need to finance an extension by releasing equity from their property, homeowners can offset these costs by remortgaging. Here are the key criteria to fee-free remortgage products…

• No arrangement fees 
• £500 contribution towards the solicitor fees or free basic legals 
• No valuations fee 

This upfront saving is a fantastic way to help your client. It’s one less thing for them to worry about! And that’s not all. Whether a customer wants a straight switch or to borrow more, we have the products to match their needs. With no LTV restrictions on debt consolidations and capital raising also allowed for borrowers looking to clear an existing IVA, the opportunities to remortgage are endless. 

How we help customers save money (case study) 

The market landscape is significantly different for borrowers coming to the end of their fixed-term mortgage since they initially obtained their mortgage two or five years ago. With more than 600,000 households facing the prospect of interest rate rises when they renew their fixed-rate mortgages in the first half of 2024 alone, saving on upfront fees has never been so important. To truly understand how cost-effective our fee-free range is when it comes to upfront costs, here’s an example of how we helped a couple remortgage their property to consolidate their debts and quickly raise funds for home improvements: 

The scenario  

Ross and Emma are Contact Managers for a medical supply company, but they have acquired some CCJs over the years. Upon receiving an inheritance, the applicants were eager to leverage their property through remortgaging. Their goals? Securing funds to buy out their sister’s share, embark on home improvements, and streamline debt consolidation, all in one savvy move. 

How we made a difference  

As their CCJs were over three years old, we could completely overlook these on their credit profile, and with a full valuation already completed, our underwriters took a holistic approach to the case. As a result, we were able to offer them a fee-free remortgage on their home, allowing them the flexibility to fulfil all the goals they had hoped to achieve. 

The specialist lending route to remortgages 

Every customer has different homeownership dreams. We’re here for those who need a more specialist approach to lending. Remortgaging remains an opportunity even if your client’s credit history could be better. Whether a customer wants a straight switch or to borrow more for home improvements, we have a product to match their needs whilst also giving them the option of fee-free products. Over 34% of our cases have been on a fee-free product this month alone. This stat is based on those who used our fee-free product vs those who went down the non-fee-free route in Q1 of 2024. Did you know, our 5-year fixed product was the most popular option for those looking to remortgage and for those looking for fee-free options. If your client needs to remortgage and has an adverse credit history, here’s how we help:  

• We don’t credit score. 
• CCJs/Defaults under £300 are ignored even in the last 3 months. 
• All telecom CCJs/Defaults ignored. 
• Debt Management Plans are accepted and can remain. 
• Day 1 Contractors accepted. 
• Only 1 years’ worth of accounts is required for Self Employed 
• All our criteria is based on completion — defaults can be registered as recently as 2 months ago, with completion to take place once 6 months old. 

Ultimately, we want to help you get your customers back into a comfortable financial situation. We aim to continue creating tailored products and services for underserved individuals seeking affordable finance, including those with bad credit. If you would like more information on our remortgage product or our fee-free remortgage range, contact our sales team at sales@bluestonemortgages.co.uk, who will gladly guide you to other resources. You can also visit our products page to learn more.