Remortgaging in 2025: What UK Homeowners Need to Know Before Their Deal Ends
- theintroducing
The Clock’s Ticking: Is Your Mortgage Deal Ending in 2025?
If your fixed-rate deal is set to expire this year, you’re not alone.
In fact, over 1.8 million UK households will see their current mortgage terms come to an end in 2025, according to UK Finance.
That’s a surge in remortgage demand — and it’s already driving increased competition, sharper pricing, and higher volumes of homeowners looking to avoid landing on a Standard Variable Rate (SVR).
So what does that mean for you?
Whether you’re:
-
Coming to the end of a fixed or tracker deal
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Looking to borrow more for home improvements
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Planning to move home and need a new mortgage
…it’s time to get ahead of the curve and take control.
Why 2025 is the Year of the Remortgage
Millions of Deals Are Expiring
If you fixed your mortgage between 2020 and 2022, you likely locked in a deal at sub-2% interest. Those rates are long gone,unfortunately.
Now, as those products mature, homeowners are facing a potential jump to 3.89%–7% if they don’t act.
Here’s what that looks like in real terms:
| Mortgage Balance | Old Rate (1.89%) | New SVR (7.24%) | Monthly Payment Difference |
|---|---|---|---|
| £200,000 | £836 | £1,347 | +£511 |
| £300,000 | £1,254 | £2,021 | +£767 |
Source: Nationwide, Halifax, and Mortgage Finance Gazette
This is why acting early — ideally 3 to 6 months before your current deal ends — matters.
2. The Base Rate Is Changing
In May 2025, the Bank of England cut the base rate to 4.25%, the first move in a long time towards easing pressure on borrowers.
While lenders haven’t passed on all the savings yet, it’s opened the door for more competitive fixed-rate products, especially for homeowners with strong equity positions.
That means deals are out there — if you know where to look.
What are your options when remortgaging?
✅ Like-for-Like Remortgage
Keep your borrowing level the same, but switch to a new lender (or stay with your current one) on a better rate.
Perfect if:
You’re staying in your home
Your income and outgoings haven’t changed much
You want a cleaner, cheaper monthly payment
This is often the most straightforward route — and a whole-of-market broker can help you compare across 90+ lenders, not just your current bank.
✅ Borrow More on Your Mortgage
Looking to fund home improvements, consolidate debt, or invest in a business?
You could increase your mortgage balance and release equity from your home.
What you need to know:
Most lenders will let you borrow up to 70-80% LTV (loan-to-value)
You’ll need to justify the additional funds — e.g. quotes for work, debt statements
Affordability checks will apply
Example:
If your property is worth £300,000 and you owe £180,000, you might be able to raise up to £60,000 in additional borrowing.
✅ Remortgage to Move Home
If you’re planning to move in 2025, remortgaging may still play a part.
You can:
Port your mortgage to a new property (if allowed by your lender)
Start fresh with a new mortgage for the new home
Borrow more to cover the higher property price or extra costs
Good brokers will walk you through both routes, including what your current deal allows — and whether early repayment charges will apply.
✅ Second Charge Mortgage (Alternative to Remortgaging)
This is a separate secured loan on your property — ideal if:
Your current mortgage rate is low and you don’t want to touch it
You need to borrow more but your existing lender won’t lend further
You’re tied into an existing deal and has a long way to go and you need extra funds sooner.
Second charges offer flexibility — but rates are higher than a main mortgage, so it’s important to weigh the pros and cons.
What Should You Watch Out For In 2025?
⚠️ Early Repayment Charges (ERCs)
If you’re remortgaging before your current deal ends, check your ERCs.
Typical ERCs range from:
1–5% of the mortgage balance
Tiered down by year (e.g. 5% in year 1, 1% in year 5) depending on the length of your fixed rate
A broker will calculate whether it’s better to wait, pay the fee, or lock in a new deal now for future completion.
⚠️ Property Value & Loan-to-Value (LTV)
If your property’s value has dropped — or not increased — since you last remortgaged, you could move into a higher LTV bracket.
LTV affects:
Your available rates
Whether you qualify for top-tier fixed products and cheaper interest rates
How much additional borrowing you can raise
Why Work with A Whole Of Market Broker in 2025?
Let’s be honest — comparison sites won’t give you the full picture.
They also won’t walk you through criteria, underwriters, or lender quirks.
When you work with a broker like The Introducing Broker Finance Hub, you get:
✅ Full access to the UK mortgage market
✅ Support with paperwork, affordability checks, and timing
✅ Advice tailored to self-employed, home movers, and equity borrowers
✅ Protection from unsuitable deals or lenders who won’t approve you
“Now isn’t the time for guesswork. A whole-of-market broker helps you get it right first time.”
Thinking About Remortgaging? Don’t Wait
Timing is everything when it comes to your mortgage.
Lock in early.
Review your options.
Make sure your next deal works for your plans.
At The Introducing Broker Finance Hub, we help homeowners, investors and movers remortgage with confidence — not confusion.
📞 Message us or visit tibfinancehub.com to start your remortgage review today.
Important Disclosures:
- You may have to pay an early repayment charge to your existing lender if you remortgage early. Seek advice from a qualified adviser first. There may be alternatives available to you such as future advances or second charges.
- Think carefully before consolidating debts onto your existing mortgage. Seek Advice from a qualified adviser first.
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