Does cutting your mortgage repayments or reducing the length of your mortgage term seem like a smart move to you? Remortgaging your existing property could allow you to do just that!
The number of remortgages jumped a staggering 20 per cent in May 2019 compared to the previous year, according to the latest UK Finance lending figures. Whilst the motivation for remortgaging can be different for each customer depending on their circumstances, it seems the opportunity to increase borrowing and the availability of attractive interest rates are influencing the market.
The figures showed there were 21,370 remortgages where borrowers withdrew further equity from their homes and 19,650 remortgages without any extra borrowing – an increase of a fifth for both measures compared to last May. Remortgaging is also up by 20 per cent in the Buy-to-Let sector as landlords completed 15,000 remortgages over the same period.
This surge in remortgaging has come at a time when, according to Moneyfacts, the motivation to remortgage is at an 11- year high due to the difference between a fixed rate two years ago and today’s Standard Variable Rate.
Whatever the reason for remortgaging, whether it’s to release some equity, save some money or reduce your mortgage term it’s always best to consult an adviser beforehand. They will be able to find the best deal for you and your specific circumstances.