Remortgagors seek certainty

Jessica Nangle

September 5, 2017

Just 15% of homeowners remortgaged to lower their monthly repayments in July, latest research from LMS has shown.

This comes as more homeowners move away from short-term deals and variable rates and onto 5-year fixes at low rates to guarantee certainty and financial security.

Over a third (37%) of remortgagors fixed onto a 5-year deal in July which is the highest amount since numbers were first tracked.

Total remortgaging volume rises by 9%

Andy Knee, chief executive of LMS, said: “We are seeing a significant change in consumer behaviour when remortgaging.

“The way people borrow is changing, and there is a significant decline in interest-only and variable rate deals, and fixing for longer appears to be the top priority. It’s a flight to financial security.

“With interest rates still low and lenders competing with one another to offer customers the best possible deal, there has never been a better time to remortgage in 2017.”

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