Highest remortgage levels since 2009, claims CML

21st December 2015

According to the Council of Mortgage Lenders (CML), remortgage activity increased in volume and value terms in October compared with both September and October 2014 figures.

Homeowner remortgage activity was up 6% in volume and 10% in value compared with September. Compared with October 2014, remortgage lending was up 19% in volume and 34% in value.

October saw the highest number of remortgage loans in a single month since January 2009 and the largest total borrowed for remortgage purposes since June 2008.

First-time buyers borrowed £4.6 billion for homeowner house purchase, up 10% on September and October 2014. Gross buy-to-let lending saw month-on-month increases of 4% in volume and 3% in value.

Paul Smee, director general of the CML, said: “Homeowner and buy-to-let activity have both continued the upward trend seen last month, and the market looks set to finish the year strong, despite taking time to gain momentum after a slow start to 2015.

“With increasing employment and the current absence of inflationary pressures in the UK, conditions for continuing demand in the housing market seem likely going into the new year. How supply will respond to this challenge going forward is a crucial question for 2016.”

*2 year fixed with TSB 1.09% then 3.59% - APRC is 3.3% Max LTV is 60%. Quoted on 27th May 2020.