Homeowners will typically remortgage in order to reduce the overall monthly mortgage payment amounts. Other reasons could include paying off a loan earlier, raising capital or consolidating other more expensive debts like student loans onto one affordable debt with lower interest rates than what they were previously offered by different lenders.

To do this homeowners would have their current lender provide them information about another property where there’s enough equity built up so that it can be used as collateral against any new borrowing needs while still leaving room left over every month just in case something happens unexpectedly