Mortgage activity has shifted away from remortgaging to home purchases thanks to the stamp duty holiday, research from Trussle found.
More homeowners are moving to a new home (56%) than remortgaging (44%), compared to this time last year, where the majority were prioritising remortgaging (63%).
Miles Robinson, head of mortgages at Trussle, said: “After an uncertain year, it’s encouraging to see house prices rising and the property market moving, with a sustained interest for house moves.
“While many homeowners contemplate buying a new home, it’s important to keep on top of your current mortgage and consider remortgage when the time is right.
“Every year, thousands of homeowners unknowingly move onto a high standard variable rate (SVR) when their mortgage deal ends and their monthly payments can increase considerably.
“Homeowners can save £344 on average per month by remortgaging, which is a significant sum.
“In these unprecedented times, we’d encourage those who are concerned about their finances to keep an eye on their mortgage. It’s worth using a remortgage calculator to see if switching to a better deal could save money.”
Homeowner appetite for remortgaging started off the year strong, with applications in January up 196% month-on-month.
As the UK entered lockdown remortgage applications jumped 54% during March.
Then the stamp duty holiday saw mortgage applications from next time buyers surge by over 73% in June – while this only increased after the stamp duty holiday was launched in July.