Remortgage surge expected to hit new build market

Remortgage surge expected to hit new build market

The recent surge in people remortgaging to improve their existing homes could hit the new build property market in 2017, according to The Mortgag Hut's Chris Schutrups.

He says property experts have been predicting a cooling of the market as a result of increased economic uncertainty, which has "been further evidenced by an increase in remortgage applications as more people sit tight and improve their existing home".

Chris added: “The next quarter will see the biggest ever number of people currently on fixed rate deals with their mortgage lender being switched over to the standard variable rate.


“Anyone who is looking to make some savings this year or to cut back on their outgoings will be looking at their mortgage very closely - it is usually the biggest expenditure any of us will ever make. And that amount of borrowing means slight changes in interest rates can have a big effect on monthly payments.

“Remortgaging is a really good strategy for anyone who is looking to save money, cut back on outgoings, or to make improvements to their home, and more people are recognising that they have to shop around to make sure they get the best deal they can.

“Uncertainty is fuelling this behaviour. I don’t think people are really that bothered by Brexit or the Trump effect - the truth is many people are feeling the pinch and have less money than they did have, and more people are concerned about their futures with cutbacks across the economy.

“With interest rates at a record low level they can only go in one direction and that is up. There is already some talk of that during 2017 so the chance to remortgage to a fixed rate and save money is looking increasingly attractive for borrowers.”

Join our mailing list:

Leave a comment



Our Next Event

Commercial Finance Roadshow May 2017

Commercial Finance Roadshow May 2017

Exeter - 23/05/2017

Southampton - 24/05/2017

Rainham - 25/05/2017

Milton Keynes - 26/05/2017

Register now

Latest Comments

warren
warren 26 Apr 2017

You're very welcome Mary! Glad you enjoyed them :)

view article
Mary Ward
Mary Ward 26 Apr 2017

Thank you for the wonderful ideas. First impressions can make or break a deal. It's sadly that many homeowners drop the kerb to create an off-street parking space.

view article
Tony Gimple
Tony Gimple 14 Apr 2017

I'm not at all surprised that so many landlords are still confused about what the tax changes really mean and how it will affect them. In particular, the blind rush to incorporation is leaving landlords...

view article
MH
MH 13 Apr 2017

You are right that the bank holidays are going to be spoiled in looking for the properties. But people who want to sell their property and looking for the better relocation, they can get benefits of this...

view article
bnellyb
bnellyb 08 Apr 2017

There will be an exodus of private landlords over the next 5 years as tax changes take effect, private landlords provide an important service to the rental market, why do housing associations and councils...

view article
Fred Cassman
Fred Cassman 07 Apr 2017

"Make it look like you are at home": often people forget this and share on facebook their location!

view article
jared townsend
jared townsend 05 Apr 2017

It'll be interesting to see how & if the Government's asset sale regarding mortgages helps

view article
SecomTech
SecomTech 04 Apr 2017

...and not one mention of the rules on PERMITTED DEVELOPMENT!!! Unless you have studied the plans you will not know...It's probable a high proportion would not need planning permission...BUILDING Control...

view article
Jonathan
Jonathan 03 Apr 2017

That's a very interesting study indeed. There is no doubt that new services and web apps such as Wonego.com in the UK or Roomster in the US will change the way people look for a flatmate, and that tenants...

view article
MBM Homelets
MBM Homelets 23 Mar 2017

Although this is a very positive step, there is little or no guarantee of the standard of workmanship employed by the tenants. We have had experience of a professionally decorated property being ' painted'...

view article
ajay
ajay 21 Mar 2017

How is the "robust evidence" looking now?

view article
NathanG
NathanG 20 Mar 2017

I've been watching the series so far and am completely baffled by the cases that were presented. Though, I don't think that we can protect ourselves from every scam possible - it will just make the scammers...

view article

Related stories

More articles from Property