Switch My Mortgage In 10 Steps
Switching your mortgage means taking out a new mortgage with a new bank and using this to repay the existing mortgage. Located in Dublin 9 we can guide you through the switching your mortgage process. Common reasons to switch include reduced interest rates, renovations or extensions and equity release. Lending institutions are competing with each other with some offering cashback incentives or lower interest rates to new customers and offering to pay your legal fees.
So how do you actually switch your mortgage?
1. The first step to switch your mortgage is to contact your mortgage broker or you can contact the bank directly yourself. You will need to bring with you the following:
- ID e.g. passport
- Bank statement, usually 6 month
- Proof of address
- Salary certs, usually 3 months
2. Your title deeds are currently held by the bank that provided your existing mortgage. Once we have your written authority we will arrange to obtain the title deeds from the bank.
3. Once your new bank has formally approved your switch, the bank will send you a formal Letter of Offer setting out the terms and conditions of the loan. The bank will also issue a Loan Pack to us which will contain the mortgage documents.
4. On receipt of the Loan Pack we will arrange for you to attend our office to sign the necessary authority to allow us to act on your behalf. We will go through the loan offer in detail to confirm that the rates and terms of the loan offer are exactly those which you have agreed with your new bank. Once you are satisfied with the terms and conditions we will arrange for you to sign Loan Offer.
5. The loan offer will also include special conditions in relation to life cover and household insurance.
6. Where you have carried out building works to the property since your initial mortgage it will be necessary to ensure that all the planning documentation is in order, as this will have to be sent to the new bank.
7. We will write to the bank to obtain redemption figures i.e. to ascertain the outstanding balance on your existing mortgage.
8. Once all of the necessary documentation is signed we will request the funds from your new bank. We will arrange to discharge this mortgage from the proceeds of your new mortgage.
9. We will then arrange to register the mortgage with the Property Registration Authority.
10. Once the mortgage is registered MB Solicitors will forward the title deeds to your new Bank where they will be held until the mortgage is repaid or you switch your mortgage to another Bank.
On receipt of the funds, MB Solicitors will complete the statement of account and the funds will be released to you (if there are funds after the redemption of previous mortgage).
|PRA regsitration fee||€175.00|
|Bank fees to release title deeds||€63.00 (different Banks have different fees)|
|Searches||approx. €75 – €150 (searches are carried out by a third party)|
We aim to make this switching process as uncomplicated as possible, delivering quick turnaround times at an affordable price so that you can start to benefit from the reduced mortgage payments as soon as possible.