Remortgage demand, which has been sluggish, saw an increase in the last month of 2014. According to data from LMS, there was an increase in gross remortgage lending of 3% in December to a value of £3.7 billion. There was a 4% increase in the volume to 24,930. In comparison to the previous year it represents a decrease of 2%. Remortgaging made up 23% of the total lending market which was up 1% from November but remained steady in comparison to the same month the previous year.

The average amount of equity release sought by homeowners increased to £28,200. This marks the highest value ever recorded which is an increase of 6% over November which had held the previous high of £26,498. It is 41% higher than the five year average of £19,962. The total equity withdrawn in remortgaging in December rose by 40% to £703 million over the November value total of £502 million. In a year to comparison December 2014 recorded a 64% increase over December 2013.

Current remortgage lenders are very competitive, as are mortgage lenders, which results in low interest rates for borrowers. Those seeking a loan should be aware that the processing time does take longer. This should be taken into consideration when deciding to shop for and apply for a loan. Grabbing the cheap remortgage and mortgage deals will mean that the borrower should act quickly when they are certain as to the right deal. Those seeking assistance with the now more complicated processing might want to consider a remortgage broker. Such a decision could also result in being offered deals not made directly to the public as there are often broker exclusive remortgage and mortgage offers from top lenders.