First Choice Finance - Mortgage Broker First Choice Finance Compare Home Owner Loans
First Choice Finance - Mortgage BrokerCompare Home Owner Loans


Remortgage valuations up 25 percent in August

Remortgage valuations up 25 percent in August

 



Remortgage valuations up 25% in August

Video transcript

Remortgage activity outperformed all other areas of the UK`s housing market, according to the latest research from Connells Survey and Valuation.

The data reveals that the number of valuations for this type of mortgage surged 25 per cent between July and last month and 102 per cent compared to August 2014 indicating that more people are looking to release equity from their homes or reduce their monthly repayments.

However, when we look at the housing market as a whole, valuation activity was much more restrained, with a rise of just seven per cent registered last month versus July. According to John Bagshaw, corporate services director, this increase was largely driven by remortgaging. 

He said: `Due to the very low Bank of England (BoE) base rate, there are currently some very appealing remortgaging deals on offer from lenders.`Mr Bagshaw explained that the surge could be partly because of a perception among homeowners that the favourable deals they are seeing now won`t last for much longer, with the BoE looking to raise rates, but this is unlikely to happen in 2015.

According to the corporate services director, the rise in remortgages is a long term shift rather than a temporary change. Homeowners are now looking at refreshing and upgrading their property rather than selling up and moving, meaning they are on the hunt for the best deals.

The data from Connells Survey and Valuation paints a picture of a stable market, with both first time buyers and veterans feeling more optimistic about the residential real estate sector now than they were at the same point in 2014. This is evident from the strong and steady growth that has been seen in 2015 so far.

Furthermore, the number of valuations arranged by existing owner occupiers looking to move and purchase a new home climbed three per cent between July and August this year, contributing to a 30 per cent year on year increase. 

The picture for first time buyers is very similar, with number of valuations performed last month climbing one per cent annually. This is encouraging, as those looking to get on the first rung of the property ladder are facing some of the toughest house market conditions in Europe, according to separate research from the ING International Survey on Homes and Mortgages.

Mr Bagshaw says: `Home mover and first time buyer activity has seen sizeable and speedy growth over the last six months, so a period of more stable growth is a sign of consolidation.`

And he notes that the data shows that these sectors are able to command long term momentum and indicates that households have a `more stable` optimism for their future. 

Low mortgage rates and healthy price growth are helping owners to move up the ladder, while first time buyers who don`t have the benefit of having a deposit made from the sale of their home are demonstrating resilience in the face of rising prices. 

The data from Connells Survey and Valuation reveals that the only sector that didn`t experience growth between July and August was buy to let, with valuations in this area dropping by five per cent. The same period last year saw a rise of 29 per cent. 

However, Mr Bagshaw believes investors shouldn`t be concerned, as the fundamentals of the rental market remain strong, driven by tenant demand.

Homeowner Secured Loans
Rates From 7.1% APRC Representative Example £30,000 over 72 months @ £679.90 repayments. Total payable of £49,949. 20.1% APRC including £2,975 intermediary fee and a £995 lender fee. Loans secured on property. First Choice are tied to certain loan providers.

Mortgages & Remortgages
4.5% APRC
Representative Example: Borrow £80,000 over 25 years At 4.6% Variable, £461.95 for 300 months.
Total Payable £138,585. Total Cost Of Credit £58,585 (incl £1360 fee).


Unsecured Personal Loans
REPRESENTATIVE 49.9% APR (VARIABLE)
First Choice are tied to certain unsecured lenders.


THINK CAREFULLY BEFORE SECURING OTHER DEBTS AGAINST YOUR HOME.
YOUR HOME MAY BE REPOSSESSED IF YOU DO NOT KEEP UP REPAYMENTS ON A MORTGAGE OR ANY OTHER DEBT SECURED ON IT.
Security is required on immovable property.



Established In 1988. Company Registration Number 2316399. Authorised & Regulated By The Financial Conduct Authority (FCA). Firm Reference Number 302981. Mortgages & Homeowner Secured Loans Are Secured On Your Home

First Choice Finance is a trading style of First Choice Funding Limited of The Old Courtyard, 103 Buxton Road, High Lane, Stockport, Cheshire. SK6 8DX. Copyright protected 2014.


  Best Deals & Latest News

Debt Consolidation Remortgages & Loans

Release Equity Via A Remortgage or Loan

Mortgage & Remortgage LTV Calculator

Reasons Why Mortgages May Be Rejected

Remortgage With Bad Credit

Online Home Loans
Secured Loans and Remortgage Advice
Loan or Mortgage Application

Loan Plans

Mortgage and remortgages - Best Buys

Mortgage Rate Comparisons

Looking For A Low Rate Mortgage? Enquire online and receive a no obligation mortgage quote from a qualified mortgage adviser whatever you are looking for a purchase mortgage buy to let mortgage or a remortgage of current home.



Home owners optimistic about house prices