Homeowners are expected to show stronger demand in the months ahead for remortgaging. The repayment holidays offered due to the pandemic are to end soon. Many will be coming to the completion of their mortgage terms and they will have to decide whether to remortgage or allow their loan to be moved to the lender’s risky standard variable rate (SVR). Since remortgages can offer more of a savings and security from rising rates with a fixed rate choice, homeowners should be keen to choose a remortgage.

Experts encourage homeowners to shop as early as possible. However, even those already on their lender’s SVR would do well to look for a remortgage. Lenders are offering attractive low interest rates and long terms with fixed rates. 

There are many benefits from a remortgage in the current pandemic impacted economic environment beyond the opportunity to save money with a low interest rate such as peace of mind and the opportunity to turn built up equity into cash.

Homeowners should of course seek low interest rates, but they might want to look beyond just the lowest interest rate remortgage. The lowest rate will likely have the most expensive fees. The fees and other costs should be taken into consideration along with any savings for the true overall savings of a remortgage to be revealed.

The pandemic appears to be hitting hard again and it will likely push homeowners to seek out opportunities to save as well as to put cash into hand with a remortgage. With demand higher, lenders could choose to handle the demand with tightened criteria for borrowers and might pull the best deals. Therefore, it would do well for borrowers to shop early, consider deals beyond the lowest interest rate offer, and take action to begin the process to remortgaging as soon as possible.