When you remortgage payout, the amount your old lender receives to close your existing mortgage. Also known as a mortgage redemption figure, it’s the exact sum you owe on your current loan when you switch to a new lender. This isn’t just a number—it’s the key to understanding whether switching actually saves you money.
A remortgage, the process of replacing your current mortgage with a new one, either with the same lender or a different one. Also known as mortgage switching, it’s not just about getting a lower rate. Many people use it to release equity release, accessing the value built up in your home as cash. Also known as home equity withdrawal, it’s a common reason people remortgage—whether to pay off debt, fund home improvements, or cover unexpected costs. But here’s the catch: your old lender doesn’t just hand over your house. They send you a final statement showing exactly how much you owe, including any early repayment charges. That’s your remortgage payout. If you owe £150,000 and your lender charges a 2% early repayment fee, your payout isn’t £150,000—it’s £153,000. That extra £3,000 comes out of your new loan.
Most people assume remortgaging is simple: find a better rate, sign up, and save. But the real work starts when you calculate your payout. Some lenders make it easy—they give you a clear figure in writing. Others hide fees in fine print. And if you’re planning to use the money you release, you need to know how much you’ll actually get after fees, legal costs, and valuation charges. That’s why looking at monthly payments alone is misleading. You need to look at the full picture: what you owe now, what you’ll owe next, and how much cash you’ll have left over.
What you find below are real examples and breakdowns from people who’ve been through it. Some saved thousands. Others got stuck with hidden fees. You’ll see how remortgage payouts change based on loan age, interest rates, and lender policies. You’ll also see how equity release works in practice—when it helps and when it backfires. No theory. No fluff. Just what actually happens when you switch.
Remortgaging can give you access to cash tied up in your home’s equity, but it’s not free money. Learn how it works, when it makes sense, and the risks you must consider before pulling out cash.
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