You can remortgage before a fixed rate ends, but the key question is not simply whether you are allowed to do it. The real decision is whether moving early leaves you better off after any early repayment charge, new mortgage fees and the value of waiting for your current deal to expire.
For many UK homeowners, the sensible approach is to start reviewing options several months before the fixed period ends, secure a suitable deal if possible, and arrange for the new mortgage to begin after the old deal finishes. Moving sooner can still make sense, but only when the savings or other benefits clearly outweigh the cost of leaving early.
How early can you remortgage before a fixed rate ends?
You can usually apply for a remortgage while you are still on a fixed-rate mortgage. MoneyHelper recommends starting to shop around about six months before your current deal ends. This gives you time to compare rates, complete lender checks and avoid drifting onto your lender’s reversion rate when the fixed period finishes.
The important distinction is between applying early and completing the remortgage early. You may be able to secure a new offer in advance but set the completion date for after your existing fixed rate ends. That can help you avoid an early repayment charge while still lining up your next deal.
If your lender is a signatory to the UK Mortgage Charter, it has committed to letting customers lock in a new deal up to six months before a fixed rate ends and request a better like-for-like deal before the new one starts if one becomes available. Rules still vary, so check the terms with your lender or broker.
What happens if you leave a fixed mortgage early?
If you leave fixed mortgage early, your lender may charge an early repayment charge, often called an ERC. The FCA says an ERC is commonly linked to the remaining mortgage balance and may reduce as you get closer to the end of the deal, although the exact calculation depends on your mortgage contract.
Before deciding to switch mortgage deal, ask your current lender for the exact redemption figure and check when the ERC falls or disappears. A difference of a few weeks can sometimes materially change the cost of moving.
Costs to include in your calculation
Do not compare interest rates alone. Include the ERC, any arrangement or product fee on the new mortgage, valuation costs, legal costs where applicable, and any exit or administration fee under your existing terms. Cashback or fee-free features can reduce some of these costs, but include them in the comparison rather than focusing only on the headline rate.
Related reading such as remortgaging costs, loan-to-value, and mortgage affordability can help you compare the wider financial picture.
When can paying an ERC still be worthwhile?
Paying an ERC can be rational when the financial benefit of the new deal is larger than the penalty and other switching costs. This is more likely when there is a meaningful rate difference, you have a relatively large mortgage balance, or enough time remains on the current fix for the monthly saving to accumulate.
Consider a simple example. Suppose you owe £180,000 and your ERC is 2%, making the charge £3,600. If a new mortgage would reduce your payments by about £150 a month, it would take roughly 24 months of those savings to recover £3,600, before any new mortgage fees. If your fixed deal ends in only four months, paying the ERC would usually be difficult to justify on payment savings alone. If two years remain, the calculation deserves a closer look.
This is only a break-even illustration. Your actual result depends on the new rate, remaining term, repayment type, fees and what happens to rates later.
Reasons to remortgage early beyond rate savings
Cost matters, but it is not the only reason homeowners consider leaving a fixed deal early. You might need to borrow more for major improvements, change the mortgage term, remove or add a borrower after a life change, or move to a product that better fits your plans.
Even then, check whether a full remortgage is necessary. Your existing lender may offer a product transfer, further advance or another option that avoids some switching costs. If you are moving home, check whether your mortgage is portable. Porting does not guarantee approval for the new property or borrowing amount, but it may help with ERCs if your lender’s conditions are met.
A practical timing strategy
Start by checking the exact end date of your fixed period, the ERC schedule and your outstanding balance. Around six months before the end, compare your current lender’s product-transfer options with remortgage deals from other lenders. Compare total costs over a sensible period, not just the first monthly payment.
If the best new deal can be reserved now but completed after the fixed rate ends, that is often the cleanest route. If completing early would trigger an ERC, calculate the break-even point. When the numbers are close, waiting may preserve flexibility and avoid paying a guaranteed penalty for an uncertain future saving.
If your circumstances have changed, such as reduced income, new credit commitments or a fall in property value, allow extra time. A new lender will normally assess affordability and lending criteria, so an attractive advertised rate does not automatically mean you will qualify.
FAQ
Can I remortgage three months before my fixed rate ends?
Yes, you can usually start the process before the fixed period ends. You may be able to arrange the new mortgage to complete after your current deal finishes, which can help avoid an ERC. Check the offer validity and completion timing with the new lender.
Do I always pay an early repayment charge if I remortgage early?
No. Some mortgages have no ERC, and others reduce or remove the charge near the end of the fixed period. Your mortgage offer and current lender can confirm the exact amount and dates that apply.
Is a product transfer the same as remortgaging?
Not quite. A product transfer means moving to another deal with your existing lender, while remortgaging usually means replacing the mortgage, often with a different lender. A product transfer can be simpler, but compare the overall cost and terms available elsewhere.
Should I remortgage now or wait until my fixed rate ends?
Compare the total cost of both choices. Waiting can avoid an ERC, while moving early might be worthwhile if the new deal creates enough savings or solves another important borrowing need. Use actual redemption figures and fees rather than deciding from the headline rate alone.
Conclusion
Remortgaging before a fixed rate ends is possible, but timing determines whether it is a smart move. Start comparing options around six months before the end date, find out exactly what it would cost to leave early, and separate the date you apply from the date the new mortgage completes. If an ERC applies, treat it as part of the price of the new deal and calculate how long the savings would take to recover it. That comparison can prevent an apparently cheaper mortgage from becoming an expensive switch.