Remortgage in 2026: How to Release Equity and Lower Your Payments
As house prices in the UK continue to show strength in February 2026, thousands of homeowners are choosing to remortgage. This financial move allows you to switch to a lower interest rate or release equity from your property to fund home improvements or consolidate debts.
The Benefits of Remortgaging Now
In the current market, fixed-rate mortgages are evolving. By opting for a remortgage deal in February, you could potentially save hundreds of pounds on your monthly repayments. Many lenders are now offering fee-free remortgages to attract high-quality borrowers.
| Lender | Best Rate | Incentive |
|---|---|---|
| NatWest | 3.64% Fixed | No Product Fee |
| Barclays | 3.72% Fixed | Free Valuation |
| Virgin Money | 3.80% Variable | £500 Cashback |
How Equity Release Works
When you release equity, you are essentially taking out a larger mortgage than your current one and keeping the difference in cash. This is a tax-free way to access liquidity. In 2026, homeowners are using this for:
- Home Extensions: Adding value to your primary residential asset.
- Debt Consolidation: Merging high-interest credit cards into one low-rate mortgage.
- Financial Planning: Providing a deposit for family members.
MARKET WATCH: With interest rates predicted to shift, locking in a 5-year fixed remortgage now could save you over £2,000 annually.
Conclusion
Your home is your most flexible financial tool. By exploring the best remortgage deals in February 2026, you can improve your cash flow and secure your financial future. Use an online remortgage calculator today to see how much you can save.