In the midst of the pandemic, homeowners have sought out remortgages for many reasons, some of which were not present pre-pandemic. The new lifestyle forced upon everyone to spend more time at home and less time socializing, going out, dining, and traveling. We are using our homes for the majority of our entertainment, our meals, for working from home, and for children it is where they attend school. Remortgages have filled the new need of transforming our homes to better suit the pandemic lifestyle.

Homeowners are releasing their built up equity into cash and are upgrading and improving their homes to better suit their needs. While remortgage lending is not outpacing the demand for mortgage lending, it is highly sought out by homeowners that want to stay put and adjust their home rather than moving home.

The good news for homeowners considering a remortgage is that there are more products from lenders coming onto the market. Many had been pulled only months ago. Now there are more attractive deals available. There are low interest rates to help homeowners save money. There are higher LTV deals and other opportunities for homeowners to find the best remortgage for their needs.

Because the housing market had been performing so well during the pandemic, homeowners in many areas have had their home value increase which offers them more equity to turn into cash. 

Experts expect that homeowners will continue to find remortgaging attractive as there are many that are due to have their current mortgage term end soon. Rather than allow their loan to convert to their lender’s standard variable rate (SVR), they are expected to escape that risky move and instead seek out a remortgage, particularly a fixed rate remortgage to save money for the length of the term. In addition, for those that discover a savings through a lower interest rate, it will offer peace of mind for months and years to come.