The tide is turning for remortgaging

12 July 2010

In a market full of data, statistics, opinion and conjecture it’s important to sort the wheat from the chaff and find the bits of information that make sense to your business.

The Bank of England’s recent Credit Conditions Survey offers interesting results that chime with our feelings about the short-term future for mortgage demand.

Of particular interest is the news that remortgaging rose in Q2 2010 for the first time since the end of 2008, with lenders expecting demand in this area to rise for the rest of the year.

While it’s tempting to note that remortgaging can only go one way because it’s been at such a low level for so long, the survey proves that customers are increasingly looking to remortgage.

Purchase transactions have provided the bulk of our business recently but we have seen a rise in remortgaging conveyancing activity in the past three months.

And because we believe this will continue we are looking at our offering in this area to provide brokers with a competitive proposition to deliver to clients.

Some brokers may have turned their backs on the remortgage market but indicators now seem to be pointing in the right direction.

Clients you may have thought were less than prime candidates for remortgages could be starting to think about interest rate rises, the availability of funding and how they can protect themselves before the situation changes.

Even if they are not thinking about these things, this could be the time to educate them about the remortgage options available.

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