Did you know that switching mortgages is actually easy and could save you money?
Sponsored by AIB
Consumers are increasingly more savvy about switching providers when it comes to getting the best deal, whether it’s for electricity, gas or insurance. But what about switching your mortgage? Some people might have preconceived ideas about the process being complex, but in fact it should be straightforward when you have a clear understanding of the steps required.
The financial benefits of switching can also be considerable, given that for most people their mortgage is their largest monthly outgoing. AIB’s ‘Movies and Mortgages’ web series aims to answer everything you need to know about the mortgage switching process, whatever your circumstance.
The Movies and Mortgages series spans eight episodes and shares in-depth advice for budding self-builders and first time buyers, as well as those planning to move to a new house or switch mortgages. The episodes have a range of useful tips and guidance from relevant experts, demystifying the process with clear, simple language. Local radio personality Pete Snodden heads-up the discussions with a variety of panellists joining him across the series, including local estate agents, solicitors, homeowners and architects.
Preparing for a Switch
The ‘Switching Mortgages’ episode features industry experts including Philip McBride from McKees Law and Craig Service from the AIB Mortgage team. The experts discuss:
- Why should you review your mortgage?
- What happens if you want to switch lenders?
- How does the process work?
Craig Service, a mortgage adviser from AIB says: “The normal trigger point for people to think about switching their mortgage is whenever their fixed mortgage deal comes to an end. Often we get feedback that customers are hesitant to make a change as they think it will be a hassle. But the reality is that changing can be hassle-free as long as you have the right support and advice.
“We would definitely encourage people to review their mortgage deal, especially if their circumstances have changed. If you’re thinking of doing an extension for example, for an extra bedroom or a home office, then re-mortgaging can be the most cost-effective way to access funds. Some people might also find that they are in a position to increase their mortgage payments and shorten their mortgage term. Whatever your circumstances, it’s a good idea to review around three months before the existing deal comes to an end. This means you can get a formal offer of a new mortgage lined up and ready to go.”
Philp McBride from McKees Law provides insights on the legal implications of switching mortgages, and advises that it normally takes two to four weeks to get the relevant documents in order. The bank offering the mortgage deal will normally pay for the legal fees associated with transferring to a new mortgage.
Craig continues: “The Remortgage process is not as complex as the original mortgage process. The customer will have already demonstrated an ability to pay the mortgage. As a responsible lender there will be checks to complete, but we only require a limited amount of documentation to proceed. We can complete the process over the phone, on our dedicated portal or via email at a time that suits the customer. For a relatively small amount of time invested by the customer, they can reap the benefits of saving money and potentially receiving money if cashback is applicable.
“The ‘Switching Mortgages’ episode offer viewers the most relevant, useful and practical advice to help them get the best from their mortgage deal. Our host Pete Snodden is ready with the insightful questions viewers want to hear and at the bank we’re always keen to hear from anyone who has watched the episode and has additional questions of their own. It’s a delight to get any follow up calls or emails, knowing we are helping people find the best deal for them.”
To watch the ‘Movies and Mortgages’ Switching Mortgages episode and for the chance to win a home movie prize courtesy of AIB, click here.