There were 635,277 remortgage cases last year, 4.2% more than in 2018, the 2019 Remortgage Snapshot from LMS has found.
5-year fixed rate products were the most popular, with 46% of remortgagors choosing that product.
The average monthly payment decreased to just £181.42.
Nick Chadbourne, chief executive of LMS, said: “2019 brought healthy remortgage volumes thanks to enticingly low interest rates, delivering a steady market over the year.
“After a particularly strong January, we saw a 10% increase in remortgage volumes from February to December.
“It’s also positive to see that 67% of borrowers engaged with a broker during their remortgage, showing the value consumers still place on advice.”
He didn’t expect volumes to shift significantly this year.
Chadbourne added: “It’s uncertain how the remortgage market will evolve as we move into 2020. Product expiries for the year look set to mirror 2019, so we can expect similar volumes throughout 2020, but we may see a flat H1 as the home moving market picks up.
“Product choices might change too, as borrowers could opt for shorter-term fixes as fears of a base rate increase subside.
“The growth in product transfer rates will also be a key factor, so it’ll be interesting to see how newer entrants shape their offerings to compete – ERC-free products, the removal of LTV bandings, and an increase in digital-only products are all possible.”
“We’ll be continually reviewing our data for changes in market trends and the overall health of the sector, and the balance between the purchase and remortgage sides of the market.”
