Remortgaging isn’t always the right option. If your financial situation has worsened since you applied for your existing mortgage, or if your property has dropped in value, you may struggle to find cheaper remortgage rates. If your income has fallen or your credit score has dropped, remortgaging might be difficult.

This is because, just like when you first took out a mortgage, when you apply for a remortgage, a lender will assess your affordability. There are strict rules lenders must follow when deciding whether to let you borrow money.

Lenders are also reluctant to extend mortgage terms for older borrowers. But even if remortgaging to extend your term isn’t possible, you may still be able to find a remortgage deal that costs you less.

It’s also worth knowing that not all mortgages can be ported to another property. So if you plan to move in the near future, find out if your remortgage could move with you.

If you remortgage before your current deal ends and during the lender’s tie-in period, you will likely have to pay an early repayment charge. This is a percentage of the remaining mortgage debt which usually reduces over time, meaning you pay less the later you leave. As this can run to thousands of pounds, it makes sense to check your current provider’s terms so you’re clear about their charges and what you would pay to exit at this stage.

If you only have a small mortgage left to pay off, you may find that some lenders have a minimum loan amount, usually £25,000, that they will accept as a remortgage.