Independent Financial Life Planners Bishop's Stortford: Remortgage boom over the next 12-24 months

Wednesday, 24 September 2014

Remortgage boom over the next 12-24 months

Experienced IFA’s Enable in Bishop’s Stortford can see why many mortgage brokers have predicted a bit of a remortgage boom over the next couple of years as the first rise in base rate in over five years looms on the horizon.

A report published by the Mortgage Advice Bureau recently predicted “a rise in remortgage lending from £55bn in 2013 - across owner-occupier and buy-to-let remortgages - to a predicted £58.2bn in 2014, £69bn in 2015 and £80bn in 2016, as rising house prices and an increase to base rate attracts more borrowers back to the market.” The report says “4.8 million “silent prisoners” have been stuck on their current deal due to negative equity or have lacked an incentive to move as they have been stuck on a low tracker deal or SVR.”

Mortgage Advice Bureau head of lending Brian Murphy says: “Recovering house prices mean many homeowners will finally be in a position to re-enter the market for the first time in years with the equity needed to access new loans. “Many more borrowers will want to position themselves on the most favourable deals before losing the advantages they have enjoyed in an era of exceptionally low interest rates.”

Perception Finance managing director David Sheppard thinks a boom in remortgages is likely sooner than 2016 as a result of continuing uncertainty around interest rates. He said: “We will undoubtedly see a boom in remortgages I think over the next 12 months, let alone by 2016. I don’t think this will be led by the actual interest rate hike, but more so by continued uncertainty around when that will come. If you want to secure yourselves against uncertainty about what will come Enables IFA’s are here to talk.

Your home may be repossessed if you do not keep up repayments on your mortgage.

Issued by: Enable Independent Financial Life Planners
25c North Street, Bishops Stortford, Herts CM23 2LD
Telephone: 01279 755950 - Fax: 01279 657339
Enable Independent Financial Life Planners is a trading style of Enable Independent Limited is authorised and regulated by the Financial Conduct Authority.
It is important always to seek independent financial advice before making any decision regarding your finances. If you would like any assistance, please contact us.
NOTHING CONTAINED IN THE ARTICLES SHOULD BE CONSIDERED AS GIVING INDIVIDUAL FINANCIAL ADVICE

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IFA Bishop's Stortford

At Enable Independent we know that our clients trust us and rely on our advice to help them to plan a better, more secure financial future. This is a responsibility that we take very seriously especially because we know that many clients have chosen us on the recommendation of friends and family. Each one of our advisers has deep expertise in their area of specialist knowledge and, as a team, we hold some of the highest qualifications available in the financial advice industry.

Our job satisfaction comes from using our skills to find workable, affordable and flexible solutions to meet our clients needs. Whether we are planning for known future funding requirements such as house purchase, school fees or income in retirement - or for the unforeseen such as job loss, long-term illness or early death, our independence from any product provider enables us to view the marketplace impartially. Our training permits us to look beyond a product's marketing hype and select on the basis of its fitness for purpose.