Remortgages considered by Scottish Homeowners

Recent data suggested that many homeowners were choosing to stay with their existing mortgage provider without reviewing other products, however new research from the Bank of Scotland begs to differ.

They have found that there are more homeowners in Scotland that are considering remortgaging their homes this year whilst interest rates are still low – and are looking at saving an average of £135 per month.  Over 30% of homeowners would consider remortgaging to make any kind of saving.

The research indicates that at least a third of homeowners believe there will be some good remortgaging deals over the next few months which could save them a significant amount of money on their monthly payments.

However, this still shows that two-thirds of Scottish homeowners would prefer to remain on their current deal – many of whom feel they are on a preferential rate or that the costs associated with remortgaging would be a barrier to doing so.

The research highlighted the fact that half of homeowners were actually unaware that standard variable interest rates have been higher than fixed rates for more than a year.

Laurence Mann, Head of Mortgages at Bank of Scotland, commented:

“Standard variable rate mortgages have been at historically low levels for quite some time, so it is no surprise that many homeowners haven’t considered moving from them.  But with fixed rate mortgages falling, and some good deals expected on the market this year, now is the time for borrowers in Scotland to consider the benefits of remortgaging.”