The UK housing market has been in growth stage for years and many attribute that to low interest rates. Currently house price growth has dominated the headlines and now public discussion has begun about the possibility of continued low rates creating long run problems for the market. Savills recently made a statement in support of this opinion.

House price growth is a staple of continued positive steps forward within the market. Although low interest rates are part of the catalyst to increasing house prices, Savills has commented that low interest rates for too long of a period could contribute to issues within the UK housing market.

Lucian Cook of Savills commented on the company stance recently, saying: "If rates remain too low for too long house prices could rise to a level that would become unsustainable if rates were subsequently to rise sharply.”

Cook continued, saying: “If interest rates rise slowly there is much more capacity for medium-term price growth”.

As the debate over house price growth and interest rates gears up, remortgage activity continues on its upward path. Discussion of the interest rates possibly holding for a longer period has slowed activity within the remortgage market, but not completely stalled it. Many house owners are still taking advantage of a time that there are many attractive deals on the table for those looking to secure a fixed rate deal. These deals will not last forever however.

A remortgage has the ability to free up valuable cash within available equity, and help house owners secure a fixed rate for protection in the future.