{"id":2115,"date":"2021-01-11T08:06:07","date_gmt":"2021-01-11T04:06:07","guid":{"rendered":"https:\/\/moneymall.ae\/credit-blog\/?p=2115"},"modified":"2021-01-11T08:07:27","modified_gmt":"2021-01-11T04:07:27","slug":"remortgage-mortgage-refinance","status":"publish","type":"post","link":"https:\/\/moneymall.ae\/credit-blog\/remortgage-mortgage-refinance\/","title":{"rendered":"Is it worth it to remortgage &#8211; mortgage refinance?"},"content":{"rendered":"<p><span style=\"font-weight: 400;\">A <\/span><b>remortgage<\/b><span style=\"font-weight: 400;\"> is a very clever and simple move to help you save money. You may even wish to use the this to reduce or increase your mortgage term or reduce or increase the amount borrowed.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Taking a <\/span><b>home loan<\/b><span style=\"font-weight: 400;\"> is the biggest financial decision you make.Just acquiring mortgage will not save your money for sure, reviewing the cost of your mortgage regularly and take action to reduce them will save thousands of Dirhams. Remortgage will help in this case.<\/span><\/p>\n<p><img loading=\"lazy\" decoding=\"async\" class=\"size-medium wp-image-2117 alignleft\" src=\"https:\/\/moneymall.ae\/credit-blog\/wp-content\/uploads\/2021\/01\/refinancing.png\" alt=\"\" width=\"300\" height=\"300\" \/><\/p>\n<p><b><div id=\"ez-toc-container\" class=\"ez-toc-v2_0_79 counter-hierarchy ez-toc-counter ez-toc-grey ez-toc-container-direction\">\n<p class=\"ez-toc-title\" style=\"cursor:inherit\">Table of Contents<\/p>\n<label for=\"ez-toc-cssicon-toggle-item-6a2334dbeb720\" class=\"ez-toc-cssicon-toggle-label\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/label><input type=\"checkbox\"  id=\"ez-toc-cssicon-toggle-item-6a2334dbeb720\"  aria-label=\"Toggle\" \/><nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/moneymall.ae\/credit-blog\/remortgage-mortgage-refinance\/#What_is_a_remortgage_or_mortgage_refinance\" >What is a remortgage or mortgage refinance?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/moneymall.ae\/credit-blog\/remortgage-mortgage-refinance\/#Why_do_people_tend_to_remortgage\" >Why do people tend to remortgage?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/moneymall.ae\/credit-blog\/remortgage-mortgage-refinance\/#When_should_you_remortgage\" >When should you remortgage?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/moneymall.ae\/credit-blog\/remortgage-mortgage-refinance\/#_These_following_factors_will_let_you_know_whether_it_is_worth_or_not_to_remortgage\" >\u00a0These following factors\u00a0 will let you know whether it is worth or not to remortgage:\u00a0<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/moneymall.ae\/credit-blog\/remortgage-mortgage-refinance\/#Compare_mortgage_interest_rates\" >Compare mortgage interest rates<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/moneymall.ae\/credit-blog\/remortgage-mortgage-refinance\/#Work_out_on_your_mortgage_refinance_costs\" >Work out on your mortgage refinance costs<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/moneymall.ae\/credit-blog\/remortgage-mortgage-refinance\/#Know_about_exit_penalties_or_mortgage_prepayment_charges\" >Know about exit penalties or mortgage prepayment charges<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/moneymall.ae\/credit-blog\/remortgage-mortgage-refinance\/#Get_a_free_Mortgage_Consultation_from_Our_Experts\" >Get a free Mortgage Consultation from Our Experts.<\/a><\/li><\/ul><\/nav><\/div>\n\u00a0<\/b><\/p>\n<h2><span class=\"ez-toc-section\" id=\"What_is_a_remortgage_or_mortgage_refinance\"><\/span><b>What is a remortgage or mortgage refinance?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">A remortgage is a term where you raise a mortgage on a property that either is currently free of mortgage or has an existing mortgage and you switch to another lender who will &#8220;buy out&#8221; your existing debt.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"Why_do_people_tend_to_remortgage\"><\/span><b>Why do people tend to remortgage?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">There are list of reasons why people tend to <\/span><b>remortgage<\/b><span style=\"font-weight: 400;\"> their property, but the ultimate reason why people look for its is to move to a better mortgage deal than the existing one. This may include a lower rate of interest or a repayment system, which may better suits your current finances.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"When_should_you_remortgage\"><\/span><b>When should you remortgage?<\/b><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">As I told you the main reason behind taking a <\/span><b>remortgage<\/b><span style=\"font-weight: 400;\"> is for the lower interest rate . Even if you make a move to a deal which offers an interest rate that is 0.5% less then this could save you thousands of dirhams across your mortgage term.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Reaching the end of your current dealings will give you an opportunity to search for new deals that suit your financial needs. If you are in <\/span><b>fixed rate interest<\/b><span style=\"font-weight: 400;\"> where your tenure time is not ended this is the right time to review for new deals offered by other banks. You need to do this about three months before tenure time ends that gives you ample time to compare with other deals.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">\u00a0If you\u2019re on a variable rate mortgage, reviewing your mortgage once a year should ensure you remain on a good deal.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">To evaluate your worthiness for remortgaging, you need to do some homework to know whether you can afford the cost of remortgaging, and start to save money, within a reasonable period of time.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"_These_following_factors_will_let_you_know_whether_it_is_worth_or_not_to_remortgage\"><\/span><span style=\"font-weight: 400;\">\u00a0These following factors\u00a0 will let you know whether it is worth or not to remortgage:\u00a0<\/span><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<h3><span class=\"ez-toc-section\" id=\"Compare_mortgage_interest_rates\"><\/span><b>Compare mortgage interest rates<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">If you are at the end of the <\/span><b>fixed rate interest<\/b><span style=\"font-weight: 400;\"> mortgage, you are likely to search for a better deal in the market.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">As a borrower, You may approach the existing bank for any better rates they offer to keep you as a customer If you get an offer, make sure to compare it against other deals online using best-buy charts or other sources of information.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"Work_out_on_your_mortgage_refinance_costs\"><\/span><b>Work out on your mortgage refinance costs<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">The remortgage is nowhere a cost-free service you are supposed to pay fees associated with taking out a new mortgage, So before opting a mortgage get knowledge of fee details and assess whether it\u2019s worth remortgaging:<\/span><\/p>\n<table>\n<tbody>\n<tr>\n<td><span style=\"font-weight: 400;\">Mortgage de-registration fee<\/span><\/td>\n<td><span style=\"font-weight: 400;\">AED 1,590<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Property valuation fee<\/span><\/td>\n<td><span style=\"font-weight: 400;\">AED 2,500 \u2013 3,000<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Mortgage re-registration<\/span><\/td>\n<td><span style=\"font-weight: 400;\">0.25% of the mortgage amount, plus AED 290<\/span><\/td>\n<\/tr>\n<tr>\n<td><span style=\"font-weight: 400;\">Mortgage registration trustee fee<\/span><\/td>\n<td><span style=\"font-weight: 400;\">\u00a0AED 2,000 for properties below 500,000; AED 4,000 for properties above 500,000 (+ 5% VAT)<\/span><\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<p>&nbsp;<\/p>\n<h3><span class=\"ez-toc-section\" id=\"Know_about_exit_penalties_or_mortgage_prepayment_charges\"><\/span><b>Know about exit penalties or mortgage prepayment charges<\/b><span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">It is likely that you will be charged a penalty by the existing bank for exiting your mortgage early. On remortgage, the new bank will take on these costs by adding them to your mortgage(That is penalty plus the interest)<\/span><\/p>\n<p><span style=\"font-weight: 400;\">The UAE Central bank proclaimed that lenders can charge up to 3% (uncapped) to clients who exit their mortgage early. While the bank has to be able to prove financial loss to charge the full 3%, exit penalties can vary between different banks and mortgages.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">So consider all these factors before stepping into remortgage and get a better deal on your mortgage that could save your thousands of dirhams<\/span><\/p>\n<p>&nbsp;<\/p>\n<p>Need Assistance ?<\/p>\n<h2><span class=\"ez-toc-section\" id=\"Get_a_free_Mortgage_Consultation_from_Our_Experts\"><\/span>Get a free Mortgage Consultation from Our Experts.<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>&nbsp;<\/p>\n<div class=\"cognito\">\n<script src=\"https:\/\/www.cognitoforms.com\/s\/qWaAkeW7D0SK_NYW418FaQ\"><\/script><br \/>\n<script>Cognito.load(\"forms\", { id: \"3\" });<\/script>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>A remortgage is a very clever and simple move to help you save money. You may even wish to use [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":2116,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"site-sidebar-layout":"default","site-content-layout":"","ast-site-content-layout":"default","site-content-style":"default","site-sidebar-style":"default","ast-global-header-display":"","ast-banner-title-visibility":"","ast-main-header-display":"","ast-hfb-above-header-display":"","ast-hfb-below-header-display":"","ast-hfb-mobile-header-display":"","site-post-title":"","ast-breadcrumbs-content":"","ast-featured-img":"","footer-sml-layout":"","theme-transparent-header-meta":"","adv-header-id-meta":"","stick-header-meta":"","header-above-stick-meta":"","header-main-stick-meta":"","header-below-stick-meta":"","astra-migrate-meta-layouts":"default","ast-page-background-enabled":"default","ast-page-background-meta":{"desktop":{"background-color":"var(--ast-global-color-5)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"ast-content-background-meta":{"desktop":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"tablet":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""},"mobile":{"background-color":"var(--ast-global-color-4)","background-image":"","background-repeat":"repeat","background-position":"center center","background-size":"auto","background-attachment":"scroll","background-type":"","background-media":"","overlay-type":"","overlay-color":"","overlay-opacity":"","overlay-gradient":""}},"footnotes":""},"categories":[5],"tags":[545,335,548,546,547,544],"class_list":["post-2115","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-mortgages","tag-fixed-rate-interest","tag-mortgage","tag-mortgage-refinance","tag-refinance-mortgage","tag-refinance-mortgage-calculator","tag-remortgage"],"_links":{"self":[{"href":"https:\/\/moneymall.ae\/credit-blog\/wp-json\/wp\/v2\/posts\/2115","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/moneymall.ae\/credit-blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/moneymall.ae\/credit-blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/moneymall.ae\/credit-blog\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/moneymall.ae\/credit-blog\/wp-json\/wp\/v2\/comments?post=2115"}],"version-history":[{"count":2,"href":"https:\/\/moneymall.ae\/credit-blog\/wp-json\/wp\/v2\/posts\/2115\/revisions"}],"predecessor-version":[{"id":2120,"href":"https:\/\/moneymall.ae\/credit-blog\/wp-json\/wp\/v2\/posts\/2115\/revisions\/2120"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/moneymall.ae\/credit-blog\/wp-json\/wp\/v2\/media\/2116"}],"wp:attachment":[{"href":"https:\/\/moneymall.ae\/credit-blog\/wp-json\/wp\/v2\/media?parent=2115"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/moneymall.ae\/credit-blog\/wp-json\/wp\/v2\/categories?post=2115"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/moneymall.ae\/credit-blog\/wp-json\/wp\/v2\/tags?post=2115"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}