The UK housing market is possibly in transition currently with many fundamental pieces of data painting a clearer picture each day.  Housing prices have cooled with the exception of London which may be completely a result of the new tighter lending rules which are now part of the daily approval process for lenders both big and small.  In addition to housing prices cooling off, remortgages have followed the same path.  According to the British Bankers’ Association, over the last twelve months UK remortgage approvals have experienced a 12% decline.

Less than 19,000 remortgage approvals took place in the month of June, compared with more than 21,000 during the same month last year.  This was in contrast to mortgage approvals which actually increased month on month.

The BBA has made statements in regard to the possibility of the new lending regulations creating a slow-down effect in the housing market.  These new rules are an effort to minimise the possibility of house owners borrowing more than they can pay back.

Mark Harris, chief executive of mortgage broker SPF Private Clients, commented on the new lending rules, saying: "There has been much debate over the impact of the new mortgage rules on lending volumes. It is certainly trickier to get a mortgage, with different questions being asked and much more scrutiny of the information provided. However, it is not impossible to get funding and if you use a mortgage broker they will steer your application through."

The coming months will be quite telling for anyone interested in moving home or remortgaging.  Attractive deals are available for anyone looking for a fixed arrangement over a variable one.