A remortgage is when a homeowner pays off their existing mortgage with a new loan. This could be done to get a better rate or access additional funds. For example, if your property value has increased and you need extra funds, you could remortgage and take out a larger loan without selling it. Additionally, if your current mortgage has a high interest rate, you could use the remortgage option to switch to another lender with a more attractive interest rate and save money.