Rates rising?

The fear of rising rates is driving landlords to re-mortgage.

According to the research the number of landlord re-mortgagors fearing a rate rise has increased dramatically over the last 12 months.

There were 17,200 re-mortgages carried out in May & June of which 39% of re-mortgagors surveyed said they anticipated more rate increases within the next year.

By choosing to re-mortgage landlords can reduce monthly repayments, move from a variable rate deal to a fixed rate or even release equity in the property.

With the number of competitive deals on the market growing, many borrowers are choosing to re-mortgage to take advantage of the low rates currently on offer. However, experts are warning that the record low rates we are currently seeing will not last for ever.

Price was by far the most important factor when choosing a lender. More than half (51%) of re-mortgagors said they chose their lender based on low-cost deals, more than twice as many as the second most important factor – customer service (25%).

Keen to capitalise on potential savings, 56% expect to re-mortgage again within the next four years, whereas one in six (17%) plan to wait more than eight years.

It’s good to see consumer awareness of the potential savings on offer is now so high.

Savvy landlords are already looking to re-mortgage again in the not-too-distant future. It is anticipated a steady stream of re-mortgage activity throughout 2022.

Can we help?

If you are looking for a new or re-mortgage, please do get in touch and one of our fully qualified independent advisers will be happy to assist.