Last year proved to be an active year for the UK housing market. Uncertainty was primarily the feeling throughout the market with many experts not conclusively estimating the next move of the market. A drop in the interest rate kept many house members thinking positively about the possibility of a remortgage. Home construction on the other hand remains behind projections for improvement in the massive shortage which continues to plague the market.

Remortgage is expected to remain strong through much of the summer, according to many close to the UK housing market. Low interest rates are dominating the headlines and continue to make lending attractive deals more possible. Borrowers are seeing this as a grand time to be obtaining mortgage and remortgage lending.

Lower interest rates make it possible for borrowers to save money. Saving money is what the remortgage lending tool is known for. Many households are currently saving money off the cost of the monthly mortgage simply due to the low level of interest rates at the moment. Low interest rates are making it possible to save money for home owners, but construction figures are still not making a significant dent in the number of residences which need to be completed in the next few years. A shortage of needed housing is looming.

Tim Moore, senior economist at IHS Markit, commented on the latest data supporting the need for more constructed housing, saying: “UK construction firms experienced a growth slowdown in March, with the loss of momentum centred on housebuilding. A weaker trend for residential work has been reported throughout 2017 so far, which provides an indication that the cooling UK housing market has started to act as a drag on the construction sector.