Boost for remortgage cases going to completion
Prior to the financial crisis just over 80% of all remortgages applied for were completed but LSL is reporting a marked improvement in the conversion rate with some of its lenders completion rates as high as 92%.
Andy Knee, managing director at LMS, one of the UK’s largest providers of remortgage conveyancing, explains: “In this current uncertain market, borrowers – especially those with LTVs of around 60% – are looking to take advantage of current falling rates and secure the best possible deal in case they begin to rise again.
“This shows a marked difference to five years ago when the market was stronger, there was much greater choice and more people were applying to remortgage but then holding out for a more competitive product.
“For a variety of reasons, we will never see 100% of remortgage applications proceed to completion, but this shift is good news for lenders as it means that they waste less in carrying out admin on cases which do not complete.”