The buy to let property market has been hit by multiple challenges in the last one to two years and that has led many to jump out of the sector or at least slow down in the purchase of properties to add to a portfolio. New regulations, tax changes, and underwriting reforms have made it difficult in recent times to navigate the waters and move forward whilst still remaining profitable. Landlords do have one positive space to turn to however, and that is remortgage. Although there have now been two increases in the standard base rate in the last twelve months, the buy to let market is a prime area to find an attractive remortgage and help save money on mortgage payments.

Homeowners should have taken notice at the slightly unexpected move by the Bank of England’s rate setting committee. The Monetary Policy Committee (MPC) at the start of the month voted to increase the standard base interest rate by 0.25%. Now the rate is at 0.75% which is three times the level it was at this time last year. Remortgaging has started to look even better to those homeowners that have been sitting on the fence.

The number of homeowners rushing to remortgage has pushed figures of those attempting to obtain a new deal during the second quarter to new heights. Those in a rush currently to find a better deal are in a hurry to beat the lender hikes which are now taking place since the Bank of England increased the standard base rate earlier this month. The standard base rate was increased during the monthly meeting of the Monetary Policy Committee. The standard base rate was hiked from the former rate of 0.5% to the new rate of 0.75%.

The mortgage lending market has heated up since the Bank of England increased the base rates earlier this month. In days following the increase in base rate, many lenders have increased rates tied to original mortgage loans as well as remortgage loans. Lender competition is hitting another gear and borrowers are in prime position to benefit from it. Housing experts are urging those who have not remortgaged, to consider it now.

The official data on the housing market in June was released by the Office for National Statistics (ONS) and revealed that the average house price across the UK increased 3% in the year to June. However, it is down from the 3.5% increase that occurred in May. The average price of a home was calculated at £228,000, which is close to £6,000 higher than the average house price in June of last year.

Remortgage lending had already been dominating the mortgage lending market. Despite buyers still showing demand for property, the strongest demand was not for home buyer mortgages, but rather from homeowners looking to secure a new deal. Not surprisingly, among the remortgaging homeowners there were many seeking a fixed interest rate deal.