Remortgage demand has strengthened and it is not a surprise. Homeowners are choosing to stay put in their properties and take advantage of the current low interest rates. Perhaps even those considering a move in the next few years are securing a safety net against rising interest rates rather than pay more than needed with their repayments.

There had been an expectation of an interest rate increase in May, but that was pushed back to a forecast of a hike in August. The delay offered an opportunity for homeowners to exhale and step back from the rush to remortgage. However, the need to continue shopping for a savings or a longer term with a fixed rate will not have ended.

Those homeowners that allowed their mortgage deal to end will have been paying an interest rate connected to their lenders’ standard variable rate (SVR). Such a rate is a risky venture for those homeowners that are on a budget that does not easily give way to quick surges in the interest payments. When lenders do decide to increase their SVR in response to the Bank of England they will do so quickly and leave little time for a chance to remortgage before being forced to pay more.

For those ready to take advantage of the opportunity to grab a lower rate they will find attractive deals available. Lenders have been keeping low rates attached to their deals. There is a strong demand for fixed rates to secure the low rates for years to come.

Experts believe that remortgaging will continue to be a huge part of the total lending for months to come and might boost when the Bank of England’s Monetary Policy Committee (MPC) does announce a hike. An increase could add 0.25% to the current 0.50% making it 0.75%, which is three times the level of the standard base rate of last year before the first increase in November.

Homeowners are encouraged to shop for a remortgage before rates are increased and in doing so find relief for the rate increases expected in the months and years to come.