Independent finance broker Norton Finance predicts a 20% surge in remortgaging and secured loan applications before the end of the year, in response to the Bank of England unexpectedly holding interest rates at 0.1% earlier this month.
Paul Stringer of Norton Finance, said: “For homeowners with a good credit score, we’re seeing a good flow of offers for remortgages. Cheap mortgage deals are not as hard to come by as many might believe.”
“Homeowners with an SVR mortgage should check their rate as soon as possible. Switching to a different lender, also called remortgaging, can save you money if, as widely expected, interest rates rise in the coming months and years. The window of opportunity is limited, but interest rates holding steady offer homeowners a reprieve.”
“A few decades ago, the ultimate goal for homeowners was to pay off their 25-year mortgage in full without considering remortgaging. Today, most mortgage borrowers have a shorter time frame in mind, fixing their mortgage for 2 to 5 years and then remortgaging after the fixed rate expires.
“Today’s borrowers have more flexibility than ever and have the advantage of being able to shop around and respond to what’s going on in the wider economy, rather than being tied into a long term mortgage.”
