This is the term used when moving your mortgage from one lender to another without actually moving house. You may do this to save money.
This might be possible by switching to another mortgage product with the same lender or by switching your mortgage to a competitor. But remember, if you move lenders, the saving you make on the interest rate you pay may be partially or wholly eaten up by the transaction charges associated with moving your loan.
So, if you are thinking about remortgaging it is advisable to do your sums carefully and take good advice from a mortgage adviser. If you get this wrong, you could have to paye the equivalent of several months’ mortgage payments which could wipe out any of the benefits of re-mortgaging.