Due to the record low interest rates available on remortgage deals, homeowners are seeking out opportunities and making the most of them. According to LMS, in September 85% of remortgaging homeowners lowered their mortgage rate with their new deal. Data also showed that homeowners are most interested in longer fixed rate deals preferring five year fixed rates over two year fixed rates.

The study further revealed that the majority of homeowners seeking a remortgage did so due to their current mortgage deal ending. This reveals that there are many homeowners that could be neglecting the opportunity of getting a new deal simply due to the ability to save money. There are deals so low, due to the Bank of England’s standard base rate sitting at a historic low of 0.25%, that some homeowners could benefit despite having to pay a fee if ending their current mortgage deal early.

Those homeowners that have moved over to their lender’s standard variable rate (SVR) because their current mortgage deal has already ended could be tempted to sit on their current low rate, but that might be risky. SVR loans could quickly be adjusted should the lender decide to raise rates and for homeowners on strict budgets and increase in repayments could be difficult to meet.

Currently remortgage deals are very attractive. Lenders are still in a competitive mode and willing to offer incentives and low fees along with their historically low interest rates to gain the attention of homeowners. Those that take notice and get a new deal are indeed making the most of the current opportunities available with cheap interest rates, long term fixed rates, and relaxed lending practices in an otherwise unsteady confidence in the economy and borrowing due to the Brexit vote.

Experts suggest homeowners consider looking past loyalty to their present lender and seek the very best deal available as most are doing according to the study. They also suggest looking past the interest rate and consider the whole remortgage deal. Fees can wipe away any savings in a lower interest rate for some, so a bit higher rate with little to no fee is a better choice.

There are great remortgages available at record cheap rates and for the homeowner looking to secure a financial safety net in uncertain economic times a remortgage could be the right choice.