Remortgage activity up 49pc
Remortgage activity increased by 16% from August 2015 as consumers looked to take advantage of low mortgage rates.
Activity for the rest of the market was robust, as valuations for the overall mortgage market rose by 29% year-on-year – meaning housing activity reached a 6-month high in September 2015.
John Bagshaw, corporate services director of Connells Survey & Valuation, said: “The remortgaging sector is continuing to power ahead – with plenty of people still opting to improve rather than move.
“High demand in this sector is still being driven by the large number of good mortgage deals out there, as homeowners rush to capitalise on the value of their home, while it’s still relatively cheap to do so.”
He added: “Against a brightening economic background, players in all parts of the market are feeling more confident about their prospects.
“Valuation activity is growing beyond the seasonal pick-up at the end of August, with year-on-year growth gathering momentum.”
For first-time buyers activity rose by a quarter 18% year-on-year and 25% month-on-month, while homemovers saw valuations rise by 23% yearly and 26% on a monthly basis.
The buy-to-let market recorded steady growth, as the number of valuations grew by 13% from September last year and 21% compared to August.
Bagshaw added: “Many thought the buy-to-let market might be in full retreat after a Summer Budget aimed at clamping down on the sector.
“But most investors’ panic was short-lived as they realised that the fundamentals of buy-to-let’s profitability – namely, large demand from tenants and low mortgage rates – were still in place.
“Far from being a drag, the sector capped off what has been a very good month for total valuations.”