There might be several reasons for an expat to consider remortgaging. Remortgage means repaying one mortgage with a new mortgage deal. Expats might have the following reasons for remortgaging:
Mortgage amount
It happens that an expat wants to increase the mortgage loan in order to be able to carry out renovations for home improvement. This will additionally lead to an increase of the comfort and value of the property.
Interest rates
When the interest rates start to change it might be advisable to take another look at current mortgage arrangements to see if it is wise to remortgage and reduce the expats interest costs. Sometimes it is financially advisable to switch from floating interest rates to fixed interest rates.
Value of the property
Over the years the value of the property can increase. In case of a considerable increase the relation of the mortgage amount and the auction value changes. This can lead to possibilities with more attractive interest rates.
Personal circumstances
When the residence status or the employment contract of an expat changes from temporary to permanent, this might be a reason to remortgage. As the permanent residence permit / employment contract can be the reason for mortgage lenders to offer a better deal, with in most cases a lower interest rate.
Early repayment
Some mortgages cover 125% of the auction value of the property. Some mortgage lenders require expats to repay the mortgage loan quickened to reach the point of only 100% within 5 years.
There are many remortgage deals available. The Hague Expat Mortgage looks into the expats specific requirements and wishes and offers a tailor-made remortgage solution. Mostly this results in a totally new mortgage under more favourable and attractive conditions. Yet it is also possible to take out a second mortgage.