Remortgaging equity hits £965m in March

Remortgaging equity hits £965m in March

New figures from LMS have revealed that equity withdrawn by remortgaging reached £965.6m in March - a rise of 19% against the previous months £814.7m.

Looking at year-on-year figures, total equity withdrawn is up by 61% from 2015s £600.4m and is the largest amount recorded in the month of March since 2008.

LMS also reveals that monthly gross remortgage lending fell to £4.7bn in March 2016, down by 3% from the £4.8bn recorded in February. The value of gross remortgage lending is however, up 8% from March 2015’s figure of £4.3bn.

The number of remortgage loans increased – by 7% – from 28,400 in February to 30,282 in March. This is 10% higher than March 2015 when 27,600 borrowers remortgaged. The number of remortgages rose while the total lending fell as the average loan size decreased: from £158,144 in February to £153,916 in March.

Per customer, the average amount of equity withdrawn from remortgaging rose by 11% from £28,685 in February to £31,887 in March. The average amount of equity withdrawn is also 47% higher than March of last year (£21,755) and is the largest amount ever withdrawn in the month of March.

Andy Knee, Chief Executive of LMS said: “March witnessed a very strong month for mortgage lending as house buyers rushed through purchases before the changes to Stamp Duty for second homes and buy-to-let came into being while remortgaging remained steady.

Over the coming months, speculation about the possibility of a Brexit will continue to dominate news and wreak havoc with the financial markets. However, this should not dissuade people from remortgaging.

Competitive rates mean the affordability of remortgages remains good and homeowners can vastly cut their monthly outgoings or withdraw large sums of money to cover an immediate cost. Latest views from the Bank of England suggest the base rate could fall even further boosting an already positive offering.”

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Kelvin Lloyd
Kelvin Lloyd 09 Oct 2017

IT is up, to the Planners. If they will only give permission for bungalows on certain (suitable) sites, they will be built.

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maggie swift
maggie swift 09 Oct 2017

It's just the beginning of the shocking rise.

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maggie swift
maggie swift 09 Oct 2017

I have recently read that the bungalows can provide social housing for elderly residents in London.

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zoe glover
zoe glover 05 Oct 2017

Update! Worst company I have ever dealt with. Undervalued a Cambridge property by over 100k, wont take on any evidence of valuation including a RICS valuation done 3 years ago for the very same value...

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Paul Edwards
Paul Edwards 27 Sep 2017

Its nonsense articles such as this that make it harder to get clients to realise just how difficult the market is out there. When you see Rightmove and there are more 'price reduced' then 'new' most days...

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Tom Allen
Tom Allen 20 Sep 2017

Absolutely agree with you!

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RyanGeo 18 Sep 2017

A sharp correction would be a less dramatic expression to use. That is already underway in certain sectors in Reading where I practice as Chartered Surveyor

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sean benton
sean benton 01 Sep 2017

Identity theft is a thread for any profession. So,people should stay alarmed. I once take help from a letting agent and came to know that letting agents are taking every precaution to prevent fraudulent...

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Mark N.
Mark N. 30 Aug 2017

We have seen a surge in instructions over August and that should continue into September too.

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Chris 30 Aug 2017

Unfortunately, all the legislation bears its force on Landlords and ignores, naively, the effect of Rogue Tenants on the ability of landlords to keep houses in repair and offer properties for rent at reasonable...

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Christian Donovan
Christian Donovan 18 Aug 2017

The write-down on house values, combined with the fall in the GBP saddled the fund?s property portfolio with a 1.4% loss in the second quarter. The shocking amount of $240 million.

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Samantha Goodman
Samantha Goodman 11 Aug 2017

Interesting point of view.

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