How Much Can You Remortgage Your House For? Key Factors to Consider

What Is a Remortgage and How Does It Work?

Before discussing how much you can remortgage your house for, let us address the basics. What exactly is remortgaging?

Simply put, remortgaging means replacing your current mortgage by taking out a new mortgage with a different bank, while keeping the same property.

If you’re staying with the same bank but switching to a new mortgage product, this is usually referred to as a product transfer, not a remortgage.

People also ask how early can you remortgage your property - but there is no one set answer for this. Generally, your mortgage will have a set period of fixed interest rate, after which you could be free to remortgage at any time, potentially allowing you to take advantage of a more competitive interest rate with a new bank.

In today’s market, the most competitive mortgage rates are often available through remortgaging to a new bank, rather than through a product transfer with your existing lender.

Key Factors That Affect How Much You Can Remortgage

Here are some factors that will impact when you should remortgage - it is vital to consider them as it will help you make an informed decision. 

In Dubai, people looking to remortgage must pay a fee. This will be either 1% of their current home loan amount or AED 10,000 - whichever cost is lower.

Factors that will impact how much you can remortgage your house for include: 

• The headline interest rate of your current and new mortgage.

• The overall costs you will bear for remortgaging 

• Any exit penalties you may be required to pay for your current mortgage. 

• Your current financial circumstances, including your income, expenses and debt-to-income ratio.

• The current value of your property.

Reasons to Remortgage Your House

There are several valid reasons to remortgage your property in Dubai, especially if you're looking to switch to a new bank in search of more favourable mortgage terms.

The most common reason is to secure a lower interest rate than you’re currently paying. This can reduce your monthly repayments and the overall cost of your mortgage.

Other reasons include:

• Releasing equity you’ve built in your property, which can be used to fund home improvements or other eligible investments

• Switching from a variable to a fixed interest rate

• Extending or shortening the loan term, which can help manage cash flow or reduce total interest paid

• Switching lenders at the end of a fixed-rate period to avoid being moved to a higher reversion rate

Every situation is different, so understanding your long-term financial goals is essential when deciding whether to remortgage.

Costs to Remortgage a Property

If you are trying to figure out, “How much remortgage can I get?”, it is crucial to consider the costs involved in remortgaging.

Understanding the costs associated can help you get a clearer picture of “How much remortgage can I get?”.

How to Calculate Your Remortgage Amount

Ultimately, the amount you can remortgage your house for depends on several factors, including your current property value, your income, expenses, debt-to-income ratio, and the lender's criteria.

Whilst there are various online calculators you can use to get an estimate, it’s difficult to provide a specific figure without assessing individual circumstances.

Consulting a mortgage advisor is the best way to determine how much you could remortgage for. They can guide you through the process, help you understand your options, and ensure you make informed decisions tailored to your financial goals.

Conclusion: Expert Guidance for Remortgaging in Dubai

Remortgaging your property in Dubai can be a powerful financial move, whether you're aiming to secure a better interest rate, release built-up equity, or adjust your loan terms to better suit your goals.

It’s important to understand that remortgaging refers specifically to switching your mortgage to a new bank, and in today’s market, this is often the most effective way to access the lowest interest rates available.

If you’re wondering how much you can remortgage for, or whether it’s the right time to switch lenders, the best place to start is by speaking to an expert. Every situation is unique, and professional advice can make all the difference.

At Engel & Völkers, our independent mortgage advisors will help you evaluate your options, compare offers from leading banks, and guide you through every step of the remortgaging process in Dubai — with clear, impartial advice tailored to your needs.