Moving to a better mortgage deal has always involved some homework but today the process has become a game of snakes and ladders.

Unfortunately, the dice often seem to be held only by the loan providers but a calm and business-like approach can reap good rewards.
Long gone are the days when an aspiring property owner saved with a bank or building society for perhaps a couple of years to show evidence that they could afford to make regular payments. This would usually be followed by a mortgage offer which might run with the same provider for 20 plus years.

Such loyalty has disappeared. Providers make public offers – frequently trying to woo new customers, rather than hold onto their existing ones. They think that inertia will retain mortgage holders already on their books.

Part of the frustration with current offers is that providers rarely reveal how long they will remain open or how much they aim to raise. An experienced broker can be invaluable to help through the maze and to ensure a balanced deal.

With all offers, consider:
qualifying maximum loan to value (LTV);
penalty if loan redeemed early;
flexibility in terms of allowing extra repayments or a payment holiday;
valuation charge, if any;
legal costs;
upfront fees.

Mortgage approvals have slumped 70 per cent over the last year. Certainly part of the worry over negative equity in property and whether regular payments can be maintained has been caused by providers offering far too high salary multiples.

Whilst excessive lending has been the norm for several years, the present position is unrealistic. For so many reasons, people want to move home whilst millions want the flexibility of choosing their mortgage provider.

For the market to operate efficiently, around 75,000 home loans need to be approved each month – rather than the 30,000 plus currently – but the Council of Mortgage Lenders reacted angrily to the terms of the help given by the Government.

The Treasury said it expected providers to maintain "over the next three years, the availability and active marketing of competitively priced lending to homeowners…at 2007 levels".

The Council declared that it would not be "prudent or desirable" for the industry as a whole to return to such levels.

The aim of the financial help of £50bn was to restore confidence to the market and to encourage a competitive spirit again to home loan provision.

When remortgaging, occupants naturally look at local values. Property values have dropped 4.6 per cent in a year, according to the Land Registry. The average home in England and Wales in August was £174,493 with flat values falling most. However, Rightmove, the property website, calculated the average asking price in the five weeks to mid September as £227,438.

If your mortgage has been taken over by the Government (as with Northern Rock) or bought out by another lender, the current terms continue but the lender has no duty to offer good rates once your present agreement expires.

Despite speculation that a cut in base rate from 4.50 per cent is imminent, more than half – 56 per cent – of homeowners would opt for a fixed rate mortgage, say Abbey, part of Banco Santander. This is up from 52 per cent a month ago and 47 per cent in August.

Abbey reveals that three-year fixes are the most popular. It cut the rate on its popular three-year fix (which has a 70 per cent LTV) by 0.15 per cent to 5.39 per cent on Thursday. It has a £1,495 fee.

Savills Private Finance say that the next best fixed rate is Cheltenham & Gloucester with an initial 5.49 per cent and a higher 75 per cent LTV. The fee is £2,094. Both Abbey and C&G are fixed until early 2011.

If looking for a 90 per cent fix, Lloyds TSB has a 6.59 per cent with £1,094 fee. All these come with free legal and valuation services.

Most deals bring a 'lender exit fee' but, broker John Charcol points out, there is no such charge with the Lloyds TSB loan.

"Lenders' offers are generally valid for periods of three and six months, depending on the lender, and so securing now for later is quite feasible," tips Ray Boulger, senior technical manager at John Charcol.

Tracker mortgages account for 10 per cent of the market. A 4.99 per cent rate with 75 per cent LTV is available until January 2011 from Lloyds TSB. Savills Private Finance advise that the arrangement fee is 2.5 per cent plus a £99 booking charge.

For someone seeking an 80 per cent LTV tracker, Savills has secured a 5.89 per cent loan for the same period with a £1,094 up-front fee.

Offset mortgages are likely to be more popular in the future. This is where one pot is created into which any savings are placed which reduce the cost of the loan.

Currently, Scottish Widows have a three-year offset deal at 5.25 per cent on a 75 per cent LTV, according to the comparison website, moneysupermarket.com. For a two-year offset arrangement, First Direct charges 5.99 per cent with an 80 per cent LTV which brings a fee of £1,998.

If concerned over getting into a negative equity situation, it may be depressing news that Capital Economics forecast the housing market will drop 35 per cent between its 2007 peak and the end of this year. Deutsche Bank and Nationwide both predict a 25 per cent fall whilst Halifax expects a 20 per cent reduction.

For those who prefer remortgaging on a variable rate basis, Scottish Widows offer a three-year deal on 75 per cent LTV with a current 6.49 per cent rate and £2,499 fee. For a 90 per cent LTV, HSBC offers 6.25 per cent and a booking fee of just £499.

Quite often mortgages in foreign currencies appear attractive, particularly when one considers alternative central government interest rates: US 1.50 per cent, Euro 3.75 per cent and Japan just 0.50 per cent. However, unless you are paid in one of these currencies, the cost can spiral if the exchange rate to sterling goes the wrong way.