While house owners across the UK are able to obtain a new mortgage deal in the form of a remortgage, and save money, many house hunters are being challenged daily by the high prices of property. These high prices are making it more difficult than ever to be able to afford a residence of any kind. Since 1997, the average price of a house in the UK has increased more than 250%. This figure is in stark comparison to the 68% increase in wages which has taken place over the same amount of time, according to the Office for National Statistics.

Houses in England and Wales are less affordable at this time than they have ever been. The ONS data revealed the average house now costs more than 7.5 times the average annual earnings. This is also in stark comparison to 3.6 times the average income which it took back in 1997 to be able to afford a property.

Renting is now king and landlords are seeing many of the benefits of this fact. Demand for rental property is injecting more land owners and property owners into this fast growing facet of the UK housing market. Although new taxes were introduced last year for second and third properties owned, new landlords continue to enter the market at a fast pace. London, in particular has seen an increase in not only more unaffordable properties to purchase, but more properties to rent as well.

Higher house prices have not affected the number of property owners seeking a new mortgage product in the form of a remortgage. Lenders of all sizes have seen sizeable increases in the number of applications for remortgage in the past few months alone.