Do I need a solicitor to remortgage?
Quick answer, not always. Whether you need a solicitor of not will largely depend on the complexity of the remortgage and whether you’re changing lenders or not.
When don’t I need a solicitor for a remortgage?
You don’t need a solicitor to remortgage if you’re doing the following:
- Getting an advance. If you’re borrowing more on your existing mortgage with your current lender, then no legal charges are involved in this type of arrangement.
- Product transfer. If you are staying with the same provider but moving to a new rate or a deal, it doesn’t require any additional legal work.
When should I use a solicitor for a remortgage?
Here are a couple of situations when you’ll need a solicitor to be involved:
- Add someone to a mortgage. If you’re adding a new person to your mortgage, e.g. a friend or partner you’ll need a solicitor to draw up paperwork to reflect a change in ownership. This process is referred to as a transfer of equity.
- You are removing someone from a mortgage – the reverse of the above. The ownership of the property is changing, and the documents need to reflect this.
The majority of lenders will include free legal services when you remortgage (Friends Capital can advise on this). If your chosen lender doesn’t offer a free service then shop around.
Should I use the remortgage lenders’ solicitors?
If it’s free and part of the service then you won’t have much choice, however, if you’re paying for your own solicitor, you have the right to shop around.
What does the remortgage solicitor do?
Remortgaging is undoubtedly less complicated than purchasing a home; the following is usually checked as part of the process. Some of this may not need to happen if you are staying with the same lender.
- ID checks – to protect against money laundering
- Check your existing mortgage – they’ll check how much you owe and if there are any exit or early repayment fees
- Valuation – your new lender will value the property and provide a mortgage offer to you.
- The fine print – your solicitor will check over the terms of the mortgage offer and raise any issues with you.
- Land registry – they’ll check the land registry records to make sure nothing has changed since the process began
- Completion – your solicitor, will oversee the completion – paying off your old mortgage and any fees and send the remaining money to you.
- Update the land registry – once this has all happened, they’ll update the land registry with the new details.
Do you further questions?
Contact Friends Capital – we’re here to help. Our team has vast experience in the remortgage process and can help you find the best lender for your circumstances.