The prosperous days of the UK remortgage market are now being favorably looked upon as the number of remortgages totaled slightly less than 13,700 during the month of January.  Fifteen years ago the remortgage market was sailing smoothly, while in stark contrast this past January brought the picture back into sharp focus.  Remortgages are still being widely overlooked for their potential benefits to existing homeowners.  The British Banker’s Association released the dismal January figure while the appetite for original mortgage loans is becoming more apparent.

A spokesperson for London & Country commented on the state of the remortgage market and remarked how the figures for today’s remortgages are in line with what lenders are offering.

David Hollingworth said: "There will be some people who are on very low tracker rates or on a low standard variable rate, perhaps 2% over base rate, who will think it is not worth remortgaging. There will also be people who are looking at their property and thinking the value has gone backwards, so they are not in a position to move to one of these deals for people with a lot of equity.”

Others are quite surprised at the lack of demand based on current rates and products available from the best lenders.  One of those is Mark Harris, chief executive of mortgage broker SPF Private Clients.

Harris commented: "Of course, there is a lag between the positive press coverage of such deals and the time it takes to get one of these, so we expect to see these numbers improve as the year goes on.

"It may also be that some homeowners are holding off waiting for rates to fall further before taking the plunge. However, rates should be looked at in a historical context: two-year fixes for less than 2% and five-year fixes for less than 3% are by far the best rates we have ever seen."