LAST REVIEWED: JUNE 2026
Habito can be used to remortgage to a new lender or to compare a product transfer with an existing lender. The remortgage process through Habito follows the same digital fact-find structure as a purchase application. Habito compares available deals from its 90+ lender panel against the borrower's current rate and outstanding balance. The service is free; Habito receives a procuration fee from the lender when the remortgage completes. Starting the remortgage process three to six months before the current fixed rate ends is advisable to ensure the new product is in place before the existing rate reverts to the lender's standard variable rate.
When to start a remortgage through Habito
The optimal time to start a remortgage is three to six months before the current fixed rate deal ends. Most mortgage offers are valid for three to six months, meaning a borrower can lock in a new rate several months before their current deal expires and complete the switch as the existing deal ends. Starting too early risks the mortgage offer expiring before completion; starting too late risks a period on the standard variable rate, which is typically significantly higher than fixed rate products.
Habito's process begins with an online fact-find that takes approximately 15 to 30 minutes and produces a comparison of available products. Habito can produce a decision in principle from a new lender quickly, and the full application to formal offer typically takes four to eight weeks for a standard remortgage. Allowing eight weeks from starting the Habito process to completion provides adequate buffer for most standard remortgages.
Product transfer vs remortgage: what Habito assesses
A product transfer is a switch to a new deal with the existing lender without a full remortgage application. Product transfers are faster (sometimes completing in days rather than weeks), involve no legal fees and typically require no new valuation. The trade-off is that a product transfer only accesses the existing lender's products rather than the whole market.
Habito's remortgage service compares the available market products against the existing lender's product transfer rates. If the existing lender's product transfer rate is competitive with the market, staying with the current lender via a product transfer may produce a better net outcome after accounting for the legal fees and time involved in a full remortgage. Habito's comparison shows both options, allowing the borrower to make an informed decision based on the specific rates available at the time.
Early repayment charges: when they apply
Remortgaging before the current fixed rate deal ends typically triggers an early repayment charge from the existing lender. ERCs are a percentage of the outstanding mortgage balance, typically between 1% and 5%, and step down over the fixed term. On a £250,000 mortgage with a 2% ERC, the redemption penalty is £5,000. Starting a remortgage before the ERC-free period is rarely worthwhile unless the new rate saving is substantial enough to offset the penalty over the likely period before the next remortgage.
Habito's fact-find includes questions about the existing lender, the current deal end date and any ERCs, allowing the service to assess whether remortgaging before the deal end is financially rational for the specific borrower. The Habito adviser can quantify the saving from switching now versus waiting until the ERC-free period begins, giving the borrower a clear picture of the true cost and benefit of early remortgaging.
Remortgaging to release equity
Habito can also assist borrowers who want to remortgage to release equity from their property. Remortgaging to a higher loan amount than the outstanding balance releases the difference as a cash lump sum. Common purposes include home improvements, debt consolidation and funding major purchases. Habito assesses equity release remortgage applications as part of its standard service; the fact-find captures the required loan amount and intended purpose.
Lenders apply affordability assessments to the full new loan amount rather than just the increase, meaning the borrower must demonstrate affordability for the higher monthly payment. Habito's lender panel includes lenders with different affordability models that may produce different maximum loan amounts for the same income. Comparing multiple lender products is particularly important for equity release remortgages where the required amount is close to the maximum the borrower can borrow.
Habito One as a remortgage option
Habito One's long-term fixed rate product is available for remortgage as well as purchase. A homeowner approaching the end of a two or five year fixed rate who wants to eliminate future remortgage cycles can switch to Habito One for a term of 10 to 40 years. The rate will typically be higher than the best available short-term remortgage rates, but the product eliminates the need for future remortgages for the chosen term. This option is presented alongside standard market products in Habito's comparison, allowing the borrower to weigh certainty against cost.
Disclaimer: This guide is produced by Kael Tripton Ltd for informational purposes only. It does not constitute financial advice. Kael Tripton Ltd is not FCA authorised. Verify all remortgage details with Habito and your current lender before proceeding. Company No. 17177071, ICO ZC135439.
Frequently asked questions
How early should I start remortgaging with Habito?
Starting three to six months before the current fixed rate deal ends is advisable. Most mortgage offers are valid for three to six months, allowing the new rate to be locked in before the current deal expires. The full process from starting the Habito fact-find to remortgage completion typically takes four to eight weeks for a standard case. Allowing eight weeks from starting the process provides adequate buffer for most standard remortgages.
Does Habito charge a fee for remortgage advice?
No. Habito's remortgage broker service is free to borrowers. Habito receives a procuration fee from the lender when the remortgage completes. This fee is disclosed in Habito's key facts illustration as required by FCA Mortgage Credit Directive rules. The only costs to the borrower are standard remortgage costs such as legal fees, valuation fees (if applicable) and any early repayment charge on the existing mortgage. Many lenders offer fee-free remortgage products where the legal and valuation costs are covered by the lender.
Can Habito help me stay with my current lender?
Yes. Habito's remortgage comparison includes the existing lender's product transfer rates alongside deals from other lenders. If the existing lender's product transfer offers a competitive rate, Habito will present this as an option. The borrower can then decide whether the savings from switching to a new lender justify the additional time and legal costs involved in a full remortgage versus a straightforward product transfer with the current lender.
Can I remortgage to release equity through Habito?
Yes. Habito handles remortgage applications where the new loan amount is higher than the outstanding balance, with the difference released as equity. The fact-find captures the required loan amount and intended use. Habito's lender panel includes lenders with different affordability models for equity release remortgages. The full new loan amount is subject to affordability assessment rather than just the equity release portion.
