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This article is for general guidance only and is not financial or professional advice. It contains promotional content and links to financial products. All figures and information in this article are correct at the time of publishing. Laws, entitlements, tax treatments and allowances may change in the future. Before you make any decisions, you should get independent professional advice.
If your fixed rate mortgage deal is coming to an end in the coming months, you’re not alone. Around 350,000 five-year fixes are due to end between October 2025 and February 2026.
There is also expected to be a surge in two-year fixes coming to an end, since many people fixing in late 2023 and 2024 opted for shorter deals in anticipation that rates would fall.
If you took out a five-year fix in 2020 or 2021, interest rates are now substantially higher than they were when these deals were taken out – so you could be in line for a payment shock.
We take a look at the options and how you can get the best deal.
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If you don’t do anything when your fixed rate ends, you will be moved onto your lender’s standard variable rate, which could be considerably higher than the best rates available. The average standard variable rate is currently around 7.6%, as of mid-October 2025.
You may be able to make significant savings by remortgaging onto another deal. If you're coming to the end of a five-year fix, it's almost inevitable that payments will still go up as rates are higher than they were five years ago, but you can limit the damage by moving onto the best possible rate.
“On a £200,000 loan, moving straight onto the standard variable rate could mean an extra £450 a month – depending on the rate you are on currently,” says Richard Dana, founder of award-winning mortgage broker Tembo, which partners with Saga Mortgages. “Depending on your circumstances, switching to a new fixed-rate deal could reduce that increase to closer to £200 a month, potentially saving around £250 each month compared to doing nothing.”
Finding the right mortgage, applying and getting approved can take a while, so it’s sensible to start shopping for a new mortgage up to six months before the end of your current deal. That gives you the best chance of a good rate too.
“When it comes to remortgaging it’s best to start three to six months out from the end of your current deal,” says Angela Kerr, director of the HomeOwners Alliance. “Dig out the mortgage paperwork to check, as it’s important to give yourself enough time and avoid the risk of rolling onto your lender’s very expensive standard variable rate.”
Many lenders are signed up to the Mortgage Charter, which means they should let you apply up to six months in advance. If accepted, you lock in that rate for when your current deal ends. The charter also gives you the right to switch to another new, cheaper deal up until the start of the deal you have already agreed. Note that your lender may have a cutoff period up to 14 days before the new start date.
Don’t assume that your lender or broker will let you know about a cheaper deal. Your lender probably won’t, so keep an eye out for cheaper deals yourself. Make sure you’re clear whether your lender will automatically check for cheaper rates.
Saga Mortgages works in partnership with Tembo, whose team advises using over 100 lenders and has access to over 20,000 products. That means they can source products from lenders who will take pension income into consideration, and those lenders who will allow family members income to be taken into account.
Saga Mortgages, in partnership with Tembo, offers a rate review service – see full details here. This means your broker can help you review available deals, but you may need to contact them to initiate a check. That way you can lock in your new deal up to six months before your current deal ends, safe in the knowledge that if rates get worse, you’ll have locked in the best possible deal. And if they get better, you can simply switch to a better deal.
Remember, your home may be repossessed if you do not keep up repayments on your mortgage.
Remortgaging is a relatively straightforward process and you don’t need masses of paperwork to do it. If you don’t already know how much is left on your mortgage, start by asking your current lender for a redemption statement.
This will tell you how much you still owe on your mortgage, so you know how much you will need to borrow from a new lender. If you manage your mortgage online, you should be able to get this information by logging in.
You will need some paperwork for the eligibility and affordability checks. Different lenders or brokers may ask for different documents, particularly if you’re borrowing more or changing the terms of your existing mortgage. This list is a general guide to what you're likely to be asked for:
You will also need a solicitor or conveyancer if you are remortgaging to a new lender.
The cheapest mortgage rates are generally offered to the lowest-risk borrowers. That means people with a strong credit profile and a low loan-to-value ratio – which is the size of your mortgage compared with your property’s value.
Check your credit rating with one of the major credit referencing agencies (Experian, Equifax or TransUnion) and see if there is anything you can do to improve this. Something as simple as registering to vote can make a difference.
Then look at how much you need to borrow and what your LTV is. There are plenty of LTV calculators online, but it’s easy to calculate it yourself. Simply divide your outstanding mortgage by your home’s current value and multiply it by 100. The lower the loan-to-value, the more equity you have in the property.
You then need to start researching available mortgages. Shopping around for the best possible interest rate will reduce your monthly repayments and also how much you pay in total for your mortgage over the years.
You can do this by either scouring the best buy tables online, or by using a mortgage broker to find you the best deal.
In addition to scouring the market for you, a mortgage broker should also complete paperwork on your behalf and act as a ‘middleman’ between you and the lender. Some brokers also have access to exclusive deals, and can advise you on which products are most likely to be suitable for you.
Although some mortgage brokers charge a fee for their services, there are many reputable firms that offer their services free of charge. Most brokers receive a commission from the lender, whether or not they charge a separate advice fee.
Remortgaging isn’t free. There are several costs you may need to cover, including:
A product transfer mortgage is when you switch to a new deal from your current lender. This can be a way to reduce costs and save yourself some hassle. There’s usually less paperwork and your lender probably won’t need to do affordability checks, but you may still need to pay an arrangement fee.
There’s no guarantee that you’ll get the best rate with your current lender, so it’s important to check that the new rate you are getting is competitive compared to what’s available elsewhere. You can’t usually add or remove names from the mortgage, for example if you’re getting divorced.
If you are coming towards the end of your mortgage, remortgaging may not be the most sensible option once fees have been taken into account. In some cases, it may be cheaper to stick with your lender’s SVR while you clear the rest of your balance. This will ultimately depend on the amount you have outstanding and the deals that are available.
You could also consider overpaying your mortgage. Many allow you to pay up to 10% off the balance each year without penalty if you’re on a fixed-rate or discount deal. On a standard variable rate or some trackers, you can usually overpay by as much as you want. Always check with your lender before making overpayments, so that you know whether there are limits or early repayment charges.
Regular overpayments – even relatively small ones – can knock years off your mortgage term and save you thousands in interest. For older borrowers, this can be great way to ensure the mortgage is cleared before retirement, giving you one less outgoing to cover from your pension.
Another option might be to clear your remaining mortgage debt with savings – or if you’re over 55, a tax-free lump sum from your pension. This could save you money in interest and free up a chunk of your income that was going on mortgage repayments. You can often overpay your mortgage by any amount in the final month before your current deal ends, without incurring overpayment charges. Again, always check with your lender.
But do think carefully about whether taking money from your pension could leave you worse off in retirement. Before taking any money out of your pension, it’s sensible to take financial advice. You can speak to a financial adviser, or, if you’re over 50 with a defined contribution pension, you can get free pension advice from the government’s Pension Wise service.
If you are in your 50s or 60s and it’s looking like your mortgage will run into retirement, lenders might be more concerned.
“Lenders do look closely at age and income in later life,” says Kerr. Many have a maximum age by when the mortgage must be repaid – often between 70 and 85. You may need to demonstrate that you can meet the repayments from your pension income.
One way to reduce your monthly repayments is to look at retirement interest-only mortgages. With these you only repay the interest on your loan each month. The capital is repaid either upon your death or when you move into long-term care.
Equity release, also known as a lifetime mortgage, is another option for people who may not qualify for a standard or retirement interest-only mortgage. A lifetime mortgage is a loan secured against your home. You don’t make monthly interest payments – the interest and the loan are paid upon your death or when you move into long-term care. That means there’s no need for affordability checks.
Equity release isn’t suitable for everyone. It can reduce the value of your estate, and may affect your entitlement to means-tested benefits. It's a good idea to get specialist advice before going down this route.
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