There are fewer households that are unable to remortgage than last year according to the data released in the latest Quarterly Market Review from Countrywide.  In September 2013, approximately 9% of household mortgage holders would be unable to gain approval of a remortgage due to the tighter lending criteria.  One year later, September 2014, the percentage fell to only 5%. 

This means there are more homeowners capable of lowering their interest rate with a remortgage to save money and lower their monthly repayments.

The economic crisis brought on new lending criteria and homeowners are required to hold more equity in their property.  Those that do not remortgage after their current mortgage deal ends are moved by their lender to their standard variable rate or SVR.  This rate is historically more expensive than most remortgages would offer but the real drawback is the fact that the rate can increase and with little notice if the lender deems it necessary.  Different global and domestic economic situations can cause a lender to change their SVR.  For tight household budgets it is a frightening prospect that their mortgage interest rate could quickly be adjusted.

The Countrywide report revealed that those households in 2014 that remortgaged experienced an average deduction in their monthly mortgage repayment by £115 which amounts to an average of 12% savings.  The average deduction in an interest rate amounted to 1.1% with a remortgage but many saved substantially more.

Current remortgage products on the market are very attractive and some are the lowest seen in years.  Shopping around for the best deal, which includes not only a low interest rate but affordable fees, is imperative.  Those with complicated remortgages might benefit from a remortgage broker.  The important thing is to consider the current deals and determine if a remortgage could benefit a homeowner financially both now and in the future.