Expat re-mortgaging levels have soared to an eight-year high as borrowers take advantage of lower monthly repayments, figures have revealed.
The number of expats re-mortgaging in December and January increased by more than a third year-on-year to almost 3,300 – the highest number since January 2011.
The value of re-mortgaging fell due to a drop in the average loan size, but with overall mortgage activity down it still accounted for two-fifths of total lending in December and January alone.
Expat borrowing activity has been fuelled by the lower rates on offer, rates currently are the lowest they have been for the last 7 years. However, there are fears the boom may not last, amid a fall in affordability and expectations of a rise in interest rates.
In January, the repayment as a percentage of total income rose month-on-month from 17% to 18%, while 54% of those surveyed in February expect a rate rise within the next year.
Expats who have not reviewed their current mortgage deal recently would be well advised to do so as rates are expected to rise later this year.
If you would like to review your current mortgage please do make contact and one of our fully experienced advisers will be happy to assist.