Remortgages still propping up slowing market: LMS

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Remortgaging propped up a slowing mortgage market in April, according to LMS.

The firm says 38,475 remortgage transactions were made in April, up 8 per cent from the 35,500 deals made in March.

The number of deals also rose annually by 10 per cent from 34,700 in April 2016.

The value of remortgage lending increased 2 per cent month-on-month to £6.1bn.

The increase in remortgaging activity comes as the CML reports total mortgage lending fell by 11 per cent from £20.7bn in March to £18.4bn in April.

Remortgaging therefore made up around a third (33 per cent) of total lending for the month, up from 28 per cent in March.

LMS chief executive Andy Knee says: “The remortgage market had a good month in testing conditions.

“In the next few months, the general election and Brexit negotiations will cast a shadow of doubt over the future of the purchase market.

“Homeowners should seriously consider remortgaging now while rates remain low and in case market conditions worsen significantly.”