Analysts have predicted that the Monetary Policy Committee (MPC) will leave the base rate at 0.5 per cent through at least 2011. Still others think the moment for a change could be near. For two months in a row MPC member Andrew Sentance voted for a 0.25 per cent rate increase.

There is an estimated 5 million homeowners that have current mortgage packages that will be unable to afford their mortgages with an interest rise. Many who have had their mortgage deals end have converted to their lender’s standard variable rate (SVR) and are enjoying low interest on their mortgage payments. Yet, what will happen to the mortgage payment should the rate go upward?

The issue to look at right now for homeowners is that the climate is right to remortgage. Should the rate rise, you’ve missed out on savings a remortgage could have brought you. For those on SVR loans the interest rate will at some point change and more likely it will go up versus down. It may be time to seek out a remortgage and secure a low rate before it does change.

In some instances, a remortgage can save you money and give you access to cash as well. You can use the cash for debt consolidation and still end up having lower monthly payments. If bad debt is keeping your from applying for a remortgage, then consider seeking out a remortgage broker. Some remortgage brokers can help you find a good deal despite your bad credit history.

Since remortgages have dropped in numbers when compared to last year, lenders are coming up with attractive products to draw in more clients. So keep in mind there are more factors besides a possible rising interest rate to influence a homeowner to seek out a remortgage.