The latest data released reveals how strong remortgage activity is and could possibly remain. The month of February has posted numbers indicating more remortgages have been completed during the month than any other month in eight years, according to data from LMS. The conveyance firm reported an increase of remortgages month on month of 8%, reaching a total of 43,967. This is an increase of more than 40% compared to the same month last year. It is also the highest amount attained since the first month of the year 2009.

Remortgage used as a mortgage lending tool can be a powerful and valuable asset to any house owner’s options. It makes it possible to lower the monthly mortgage payment, and access valuable home equity which is stored away. This home equity is currently being used by many house owners to pay off old debt, renovate in the house where needed, and take an unforgettable holiday. The process of applying and approval now takes only days.

Andy Knee, chief executive of LMS, commented on the latest data, saying: “February enjoyed the biggest boom in recent remortgaging history. Remortgage transactions rose to their highest level in eight years as homeowners took advantage of continued low rates and the opportunity to lower monthly repayments.

“However, February also fired a warning shot. Affordability worsened, more homeowners expect rates to rise and more are prepared to wait longer to remortgage again. Caution may well set in once again.”

Knee added: “Meanwhile, inflation has risen to 2.3% and real wages are starting to fall. The consequence: homeowners will have less in their pockets come the end of the month. Remortgaging can help alleviate a potentially difficult financial situation, for example, one-in-five reduced their monthly repayments by remortgaging in February.

“With the macroeconomic climate expected to be more precarious from March onwards, homeowners would be wise to take advantage of current conditions and remortgage now – before it’s too late.”