The amount you can borrow to remortgage in Sheffield depends on your property’s current value, how much you owe, your age, your income, and your existing credit commitments.
You can estimate your property’s value by checking websites like Rightmove and Zoopla. Look for nearby properties of similar size and condition.
To find out how much you owe, check your latest statement or online account. Your mortgage broker in Sheffield can also provide this information.
Overpayments made during your mortgage term might reduce the amount you owe. Lenders will also consider your age to ensure the mortgage remains affordable now and in the future, including during retirement.
If you plan to carry your mortgage into retirement, an age 50+ mortgage product might be more suitable.
How much extra can I borrow?
Your borrowing potential also depends on your affordability, considering household income, dependents, and debts or monthly commitments.
Generally, the more disposable income you have, the more you can borrow when remortgaging in Sheffield.
You must prove to the lender that you can afford your mortgage payments now and if interest rates increase. Lenders use historical data and lending statistics to determine affordability.
Can I remortgage in Sheffield and borrow more with bad credit?
If you have bad credit, irregular income, or missed payments, this can reduce the amount you can borrow. Typically, worse credit means less borrowing potential.
The purpose of your remortgage in Sheffield also affects borrowing. For debt consolidation, lenders may offer a lower loan-to-value ratio than for home improvements due to higher risk.
Have a Question?
Feel free to send us your remortgage question via the button below. A member of our team will be in touch right away!
A mortgage broker in Sheffield can review your situation and recommend the best lender to maximise your borrowing.
Remember, higher loan-to-value ratios usually mean higher mortgage rates. Remortgage rates work in bands, so a 90% remortgage in Sheffield typically has a higher rate than a 75% one, reflecting the lender’s reduced risk.
If you fail to meet payments and the lender repossesses your property, more equity means they are more likely to recover the full loan amount plus interest and fees.
Date Last Edited: August 6, 2024
