A remortgage boom is coming, according to many involved with the housing industry.  Many house owners will be looking to jump into a new deal for various reasons.  Negative equity, deteriorating lending conditions and overall worsening financial situations on a case by case basis has led many people to anxiously wait on the turn in the economy.  The forecast is for a boom to take place in the next 12 to 24 months which will be memorable.

The Mortgage Advice Bureau is estimating up to £80bn in remortgage during the year 2015 and up to £69bn next year.  According to the Bureau, almost 5 million people will be looking to remortgage as they are stuck in deals which are turning out to be unsatisfactory for their present situation.

Brian Murphy of the Mortgage Advice Bureau commented on the latest situation involving those looking to remortgage in the coming months, saying: “Recovering house prices mean many homeowners will finally be in a position to re-enter the market for the first time in years with the equity needed to access new loans.

“Many more borrowers will want to position themselves on the most favourable deals before losing the advantages they have enjoyed in an era of exceptionally low interest rates.”

David Shepherd of Perception Finance commented on the estimated remortgage boom, saying: “We will undoubtedly see a boom in remortgages I think over the next 12 months, let alone by 2016. I don’t think this will be led by the actual interest rate hike, but more so by continued uncertainty around when that will come.

“We saw in August that two MPC members voted for an increase and we are waiting to see how the committee voted this month and as that becomes more uncertain, borrowers will be increasingly looking to fix their rates again.”