According to a recent report, remortgaging has reached levels that were almost in line with pre-lockdown figures. In the last months of May, the volume of remortgage instructions was up by 7.2% according to LMS. The number of completions in May was 18% higher than in April, and 21% higher than in March. However, the volume of remortgaging was still 16.3% lower than in May 2019.

Homeowners are choosing to seek out remortgages in the hopes of saving money. Experts have pointed out for some homeowners the savings could be substantial and save thousands. With the Bank of England’s Monetary Policy Committee (MPC) having cut the standard base interest rate to the lowest level ever in history at 0.1%, there are savings to be found from deals offered by lenders. A fixed rate remortgage could offer not only savings now but for years to come.

It is expected that remortgages will continue to be sought out and perhaps in larger than expected numbers as loosening of restrictions open up  opportunities for homeowners to seek a deal.

Homeowners are encouraged to throw loyalty to their current lender aside and shop around for the truly best deal for them. It might be that the greatest savings and benefits in a remortgage will be found through a different lender. 

Property owners should also take into consideration the overall savings of a remortgage will include both the savings found through a lower interest rate and any fees or costs with the deal. Balancing the savings along with the fees will reveal the true level of savings. In some cases, a homeowner may want to take on less of a savings for more peace of mind which could come from a fixed rate versus a variable rate.

There are many opportunities in remortgaging to save money for homeowners and since no one should pay more than necessary, there is no time like now to take action.