Switching your mortgage provider to get a new deal 

Switching mortgages at the end of the initial period involves more research and admin, but it’s a process many homeowners consider keeping their payments manageable and make sure their mortgage still works for them. 

In this guide, we’ll walk you through you might want to switch your mortgage deal, how the process works, and what to think about before you decide. 

If you’d like to understand all remortgage options, you can also read our complete remortgaging guide. 

When is the right time to consider switching providers? 

Switching your mortgage is usually most worthwhile when your current deal is coming to an end, but there are a few key moments to keep in mind. 

Situation	Why it matters
Your deal is about to end	If your fixed deal is coming to an end in the next 6 months, it’s worth reviewing what other mortgage deals are available. When fixed deals end, you will roll onto the lender’s Standard Variable Rate (SVR) which could mean higher interest rates.
You’re on or about to roll onto the SVR	Lender SVRs are the default rate they charge once a deal ends. This means they are not usually as competitive as other rates for new customers, so it’s worth reviewing which is best suited to your current circumstances.
Your home has increased in value	A lower loan-to-value (LTV) could unlock better mortgage rates, so checking your current equity can help you decide what to do.
Interest rates are changing	Switching providers can help you secure a more competitive rate before interest rates increase. If you’re considering switching before your current deal ends, make sure you check your early repayment charges (ERCs).     ERCs, additional fees, timing and suitability must be considered before switching early. The conveyancer will also look at this to confirm timings.
Your circumstances have changed	You may want a deal that better suits your income or plans

When should you start looking? 

Most lenders let you secure a deal 3 to 6 months in advance, giving you time to compare options and avoid gaps between deals. Start by looking at the current remortgage rates available, or to get an idea of what might be out there.

Try our Remortgage Calculator

See your new estimated monthly repayments.

Best factors to consider when switching mortgage deals 

Consider the deal beyond the headline rate 

A lower interest rate can look appealing but it’s important to consider the full cost of the deal to help inform your decision. 

These costs include: 

• Arrangement or product fees 

• Legal or valuation costs 

• The overall cost of the mortgage over the fixed period 

Decide on fixed or variable tracker rates 

Before switching, think about the type of deal that suits you best. 

• A fixed rate offers certainty, with stable monthly payments 

• A tracker or variable rate can go up or down, depending on wider interest rates 

Choosing between these depends on how much flexibility or stability you want. 

Evaluate the overall timeline 

Switching lenders typically takes several weeks, especially with the substantial legal work involved to move the loan over.  

Whilst product transfers are much quicker and more flexible on dates, remortgages usually aim to go live the month your ERC period ends, but before you have to pay SVR rate. 

It’s also worth thinking about: 

• The length of your next deal (e.g. 2, 3, or 5 years) 

• How long you plan to stay in your home 

• Whether a shorter or longer deal fits your goals 

Look for useful features and flexibility 

Mortgage deals come with different features that can make a real difference, such as: 

• Overpayment allowances 

• Early repayment charges 

• Portability (taking your mortgage with you if you move) 

• Flexible repayment options 

These can help your mortgage adapt if your situation changes. 

Which deals can I consider switching to? 

When switching your mortgage, it’s worth considering the type of mortgage deal you want. Most people choose between fixed or tracker deals. 

Fixed rate mortgage deals 

A fixed-rate mortgage locks in your interest rate for a set period. This means: 

• Your monthly payments won’t change 

• You’ll have more certainty when budgeting 

Tracker rate mortgage deals 

A tracker mortgage follows the Bank of England base rate, meaning your payments can go up or down. This can offer flexibility but also some uncertainty. 

The pros of switching mortgage deals at the end of the initial term 

Understanding the benefits can help you decide if switching is right for you. 

1. Avoid the Standard Variable Rate (SVR) 

Lender’s Standard Variable Rates are often much higher than the fixed term rates offered. Choosing another fixed-rate deal means you know exactly what you will pay each month for the next two, three, or five years. This protects you from potential Bank of England base rate changes. 

2. Access to more competitive rates 

The mortgage market changes regularly, with lenders competing to attract new customers. 

Switching mortgage providers at the end of your term, could give you access to new mortgage deals, eligibility requirements and features that may not have been available when you first secured your mortgage. It’s a good opportunity to review what options might be most suited to your situation. 

3. Potential savings from a lower Loan-to-Value (LTV)  

If you have built up more equity in your home, you could move into a new LTV band and benefit from lower rates. Switching to a lower rate could reduce your monthly payments and help you save money over time. 

4. Better mortgage features or terms 

New deals may offer more flexibility or fewer restrictions. Newer mortgage products often come with improved features like overpayment allowances, or the ability to port your mortgage if you move house.  

Porting allows you to transfer your existing mortgage deal to a new property, which can be particularly valuable if you have a competitive rate you want to keep hold of.  

5. Withdraw equity from your property 

Some homeowners consider remortgaging with a new provider, in order to release equity. This could be because you might want to borrow more to pay for things like home improvements. 

If you have other expensive debts such as credit cards or personal loans, releasing equity could help you consolidate these into one manageable monthly payment at a lower interest rate.  That said, consolidating unsecured debt into a mortgage may increase the total amount repayable, extend the repayment term and put the home at risk. 

You can also do this with your existing lender, through a product transfer, but it might be worth shopping around. 

Current remortgage rates

See average rates for different loan-to-value ranges.

The cons of switching deals 

Switching mortgage deals to a new lender can be beneficial, but there are also some potential drawbacks to consider. 

1. Potential of high upfront costs and fees 

Switching to a new lender may involve: 

• Arrangement and product fees 

• Legal costs for conveyancing 

• Valuation fees for the new lender’s own checks 

These costs of a mortgage deal can add up, so it’s important to check that any savings outweigh the costs. Some lenders offer free or cashback incentives to offset these costs, so factor this into your comparison. 

2. Full affordability checks 

Switching to a new lender would require a full affordability assessment. The lender will look at your income, outgoings, credit history, and employment status.  

If your financial situation has changed since your original mortgage, with a lower salary or have become self-employed, this can affect the deals you are offered by new lenders. It may be worth discussing your options with a regulated mortgage adviser, to assess whether staying with your existing lender could be more suitable. 

3. Time and effort involved 

Switching lenders can take time, including: 

• Completing a full application 

• Credit checks and affordability assessments 

• Legal and administrative work 

The process of switching mortgages can take between four to eight weeks, so does require more advance planning. 

4. You may not save in the long run 

While switching providers can reduce monthly payments, the product, arrangement, valuation and legal fees could mean you pay more overall. 

It’s always worth comparing the total cost before deciding and considering that in the length of mortgage term you choose next. 

5. Your property value has decreased 

If your property value has decreased since you last took your mortgage out and you’re in negative equity, your options may be more limited. If you are in negative equity, consider discussing options with your lender or a regulated mortgage adviser. 

Preparing to switch mortgage deals with a new provider

Getting ready in advance can make the process smoother. 

You might want to: 

• Check when your current deal ends 

• Check your current finances, including your credit history 

• Review your current interest rate and payments and compare against average rates in the market

• Estimate your property value and LTV 

• Use a remortgage calculator to see what’s available 

• Gather key documents (income, expenses, ID) 

• Speak to a mortgage broker if you’d like support 

Taking these steps early helps you stay organised and avoid delays. If you stay with your current lender, the process is usually quicker and simpler, with fewer checks involved. 

What happens once I’ve switched deals? 

Once your new mortgage is approved with your new lender: 

• Your new lender will repay your existing mortgage to the existing lender 

• Your new deal starts, usually immediately after your current one ends 

• Your monthly payments will change based on the new rate 

• You would then pay any outstanding costs occurred through the process 

FAQs on switching mortgages 

• Can I switch mortgage providers before my initial period ends?

  Yes, but you will usually pay an early repayment charge (ERC). Switching mortgage providers usually aims for the time between when your ERCs end and when the Standard Variable Rate starts. Check your existing mortgage terms to see whether it is more cost-effective to wait until your deal ends.

• When should I stick with the same mortgage provider?

  Staying with your current lender can make sense if: 

  • Their deal is competitive 

  • You want a faster, simpler process 

  • Your circumstances might make it harder to switch lenders 

• Can you cancel your switch?

  In many cases, you can cancel your switch before completion, but this depends on the lender and how far through the process you are. 

  Once legal work is complete and funds have been transferred, it’s usually too late to cancel. 

• Does switching mortgage providers affect my credit score?

  A new lender will carry out a hard credit search, which creates a temporary mark on your credit file. Multiple applications in a short period can have a more noticeable effect, so this is worth considering when researching. Using a broker who carries out a soft search first can help you identify suitable deals without multiple hard searches.

• How do I find the best mortgage rate when switching?

  You can compare mortgage deals yourself online or use a regulated mortgage broker for access to special rates and products. It’s worth noting that the best headline rate is not always the cheapest deal once fees are included. Calculate the total cost (interest + fees) over the full deal period.

*Sources: FCA data on SVRs, Bank of England – Effective Interest Rates   

Please note: Your home may be repossessed if you do not keep up repayments on the mortgage. Early Repayment Charges may apply if you leave your current mortgage during the fixed-rate period. Rightmove is not authorised to give financial advice; the information and opinions provided in these articles are not intended to be financial advice and should not be relied upon when making financial decisions. Please seek advice from a regulated mortgage adviser.