What happens on remortgage completion day?

Completion day is when your remortgage actually happens: your existing mortgage is paid off (redeemed) and your new mortgage begins, usually on the same day and without you needing to move home. Most of the work is done behind the scenes by your solicitor and the two lenders, so for many people it’s a quieter day than expected, once everything has been arranged in the weeks before.

Knowing the sequence in advance helps you feel prepared, especially if your remortgage has taken longer than usual because of a CCJ, defaults or other adverse credit that needed extra underwriting.

What happens before completion day?

Completion is really the final step of a process that starts weeks earlier:

1. Your mortgage offer is issued by the new lender.
2. Your solicitor requests a redemption statement from your current lender, showing exactly how much is needed to pay it off.
3. Your solicitor carries out legal checks on the property and prepares the mortgage deed for you to sign.
4. A completion date is agreed between you, your solicitor and the new lender.
5. Funds are requested from the new lender ahead of the date.

Our guide on how long a remortgage takes covers the typical timeline for these steps.

What actually happens on the day?

For most people this happens without them needing to do anything active on the day itself, beyond being available if your solicitor needs to confirm something by phone.

Do you need a solicitor for a remortgage?

Usually, yes, at least for a straightforward remortgage to a new lender. Many lenders offer a free legal package for standard cases, which covers this work. A product transfer with your existing lender, where you’re not changing lender, often needs little or no legal work at all, because nothing is being redeemed. Our guide on whether you need a solicitor to remortgage explains when legal work is and isn’t needed.

What if there’s a CCJ or charge to clear on completion?

If your credit file includes an unsatisfied CCJ or a charging order, some lenders require it to be cleared as part of completion, using funds from the remortgage itself, rather than beforehand. Your solicitor arranges for this to be paid directly to the creditor from the completion funds, and for proof of payment to be provided. This adds a step to completion day but doesn’t usually change the overall timing by much, provided the figures were confirmed in advance.

What if your mortgage includes mortgage arrears?

If you’ve had mortgage arrears on your current mortgage, your redemption statement will usually reflect the arrears balance as well as the main loan. Your solicitor uses the completion funds to clear the whole amount shown, so the old account is closed in full. It’s worth double-checking this figure with your current lender shortly before completion, since arrears balances can change if a payment is due in between.

What if completion falls close to your current deal ending?

Timing matters most when your existing deal has an end date attached, since finishing a few days late can mean a short spell on your lender’s standard variable rate before the new mortgage begins. Solicitors and lenders usually try to align completion with your deal’s end date where possible, but adverse credit cases that need extra underwriting time can sometimes push completion later than first hoped. If your deal end date is approaching and completion hasn’t been confirmed yet, ask your adviser whether the timeline is still realistic, and what happens if it slips.

What if you’re moving from a product transfer conversation to a full remortgage?

Some people start out exploring a product transfer with their existing lender, then switch to a full remortgage partway through, for example because the lender declines to offer a new deal or because a specialist lender offers better terms given their credit history. If this happens, completion day works the same way as any other remortgage to a new lender: your existing mortgage is redeemed using a fresh redemption statement, and the new mortgage begins. The main difference is that the earlier conversations with your existing lender don’t carry over, so timings sometimes need resetting.

What happens straight after completion?

• Your solicitor sends confirmation to you, and usually to your new lender, that the deal is complete.
• Your new mortgage payments begin from the date set out in your new mortgage offer, not necessarily the completion date itself.
• Any money released, for example through equity release as part of the remortgage, is transferred to you, typically within a day or two.
• Your old lender should update your credit file to show the mortgage as redeemed.

What does this mean if you’re remortgaging with bad credit?

If adverse credit meant your case needed extra underwriting, a specific condition (such as clearing a CCJ on completion), or a specialist lender, the completion day process itself is much the same as any other remortgage. The main practical differences are that your solicitor may be coordinating an extra payment, such as to a creditor, and your case may have taken longer to reach this point.

Once completion happens, your credit file should start to reflect the new mortgage, and any debt cleared as part of it (such as a satisfied CCJ) should update in time too, though this can take a few weeks. If you’re not sure what your redemption figure includes, or you’re worried about a debt being cleared correctly on the day, ask your solicitor or adviser to confirm in writing before completion, and get free guidance from MoneyHelper if you’re dealing with other debts alongside your remortgage.