Remortgage completions up 31% in July: LMS

Essex Home Finance
31% more remortgage completed in July compared to June, with instructions increasing by 27%.
The latest Finance and Property News2

31% more remortgage completed in July compared to June, with instructions increasing by 27%, according to the latest figures from LMS.

Pipeline cases increased by 14%, while the overall cancellation rate increased by 0.53% to 6%.

Remortgagors reduced their monthly payments by an average of £124 in July and 49% of borrowers increased their loan size.

32% of remortgager’s primary aim when remotgaging was to release equity from their property.

Nick Chadbourne, CEO of LMS, commented: “Though this increase in instructions was expected given the large volume of ERCs expiring in July, it’s encouraging that nearly a third more borrowers shopped around for a cheaper deal when the time came to remortgage, benefitting from the rate wars gripping the market as lenders fight to offer the most attractive deal.

“However, despite the healthy volumes, we would still expect activity to be higher, given that July is one of the biggest peaks in ERC expiries in the year. The data shows that many borrowers are in fact continuing to opt for a product transfer due to the competitive rates offered by their current lender.

“Many offers will come with significant arrangement fees, which might not make these deals as appealing in the long-term. Product transfers aren’t necessarily the best route either, even if a lower rate is on the table, as lenders often reach out months in advance and a better deal could be found if borrowers reviewed all available options closer to the time. Advisors must therefore be proactive in reaching out to clients to make them aware of all the options available and provide the best support during this time.”

Original Article from Financial Reporter 25/08/21

Get In touch

Leave this field blank
Mobile / Home Number
Please choose the closest match to your Mortgage Needs
  • Choose
  • First Time Buyer
  • Help To Buy
  • Homemover
  • Remortgage
  • Buy to Let
  • Equity Release
  • Insurance
  • Home Utilities
  • Nothing found
Essex Home Finance

(01245) 398466

Call Anytime

Address : 8 Kingsdale Business Centre, Regina Road, Chelsmford, Essex, CM1 1PE

Essex Home Finance Ltd is an Appointed Representative of Mortgage Intelligence Ltd which is authorised and regulated by the Financial Conduct Authority under number 305330 in respect of mortgage, insurance and consumer credit mediation activities only.

Registered address: 1 High Street, Chelmsford, Essex, CM1 1BE.

Registered in England & Wales under number 10607263.

Your home may be repossessed if you do not keep up repayments on your mortgage.

We do not charge for Residential First Time Buyers, Residential Home Movers, Residential Remortgage, and all Product Transfers (Residential or Buy to Let).

There will be a fee for all Buy to Let Purchase and Buy to Let Remortgage cases. Typically our fee will be £149, payable on Offer. We will agree any fees with you before we proceed with your case.

There will be a fee for all Equity Release Mortgage cases. Typically our fee will be £695, payable on Offer. We will agree any fees with you before we proceed with your case.

We always aim to provide a high quality service to our customers. However, if you encounter any problems and we are unable to resolve them you can take your complaint to an independent Ombudsman. 

Our advice is covered under the Financial Ombudsman Service.  You may be able to submit a claim through the  EU Online Dispute Resolution Platform If you live outside the United Kingdom or if you prefer not to deal directly with the Financial Ombudsman Service.