Can I remortgage before my deal ends?

If you are currently tied in to your mortgage deal for a set amount of time, commonly 2, 3 or 5 years, then remortgaging before that end date may lead to a penalty called an ERC or early repayment charge.

This can be either a percentage of the outstanding loan or a fixed fee, payable when you remortgage out of your current deal, it should be outlined in your mortgage offer for your current mortgage whether or not there is an early repayment charge associated with your loan, or you can you just contact your lender and find out.

It's important to consider that even though you may be faced with an early repayment charge, it might still work out cheaper for you to remortgage to a lower rate, providing the saving on your new deal can offset the penalty you had to pay to redeem your previous mortgage.

You may also wish to consider why you are thinking about a remortgage, is it to raise funds to consolidate debt or make home improvements? If that's the case then there may be other alternatives to explore, like a further advance with your current lender.