The latest figures from the Bank of England paint quite an encouraging picture regarding the health of the UK housing market and specifically, mortgage lending. December data indicate remortgage activity strength not seen in eight years. With almost 150,000 approvals within the month of December alone, many house owners are making the most of record level interest rates and lender competition.

Year on year numbers demonstrate how attractive the remortgage market is currently. A condition which many experts believe should continue until more talk about a possible interest rate hike surfaces.

The remortgage has not been at this level of popularity in some time, and for good reasons. Now, however, times are prime for a heavy amount of interest. Interest rates are now as low as they have ever been with little chance they will go lower. The current base rate sits at 0.25%.

Many UK home owners are finding more than the average amount of savings after they have been approved for a new mortgage. The current savings per month per household is on average £49 off the cost of the monthly mortgage payment. This is just short of £600 for the year.

Legal & General Mortgage Club director Jeremy Duncombe commented on the latest data to emerge, saying: “The Bank of England’s figures clearly show a strong end to the year for the mortgage market. It is particularly encouraging to see so many savvy borrowers taking the initiative and saving themselves a potentially significant sum of money by swapping their existing mortgage deal.”