Property owners in London have the highest average remortgage loan amount of £215,098 and are remortgaging every 3.94 years, LMS says. This compares to the national average of 4.71 years and 5.19 years in Wales, where homeowners have one of the lowest average remortgage loan amounts of £68,564.
Regional Remortgage Data:
|
Region |
Average LTV |
Frequency of Remortgage |
Average House Price |
Average Remortgage Loan Amount |
| East Anglia |
59 |
4.54 |
£175,821 |
£103,734 |
| East Midlands |
63 |
4.76 |
£122,716 |
£77,311 |
| London |
59 |
3.94 |
£364,574 |
£215,098 |
| North East |
66 |
5.09 |
£96,061 |
£63,400 |
| North West |
67 |
5.01 |
£109,361 |
£73,271 |
| South East |
57 |
4.60 |
£209,137 |
£119,208 |
| South West |
54 |
5.02 |
£171,695 |
£92,715 |
| Wales |
58 |
5.19 |
£118,215 |
£68,564 |
| West Midlands |
62 |
4.64 |
£130,088 |
£80,654 |
| Yorkshire |
65 |
4.94 |
£116,365 |
£75,637 |
Southerners also hold the greatest amount of property equity in spite of prices in this part of the country being the least affordable. The typical LTV of someone remortgaging in the South West is 54%. The capital and its satellite regions follow with homeowners in the South East remortgaging with an average LTV of 57% and Londoners and those in East Anglia 59%.
Meanwhile, homeowners in the North West can lay claim to owning the smallest share in their homes with an average remortgage LTV of 67%. The North East comes second from bottom with an average LTV of 66% and Yorkshire third at 65%. These three most northerly English regions are the most affordable for buyers and as such still have an average remortgage loan amount significantly less than those in the south. For homeowners in the North East, it is less than a third of their counterparts in London.
“Continued strong property price growth in the south of the country means that home owners in these regions are able to build up their equity share at a faster rate,” said Andy Knee, chief executive of LMS.
“It is also likely that with strong house prices in these regions homeowners are taking every opportunity to increase their share so as to benefit from reduced monthly repayments.
“That homeowners in London are remortgaging the most frequently is indicative of this desire to get the best possible deal for what is a sizeable mortgage. The capital has long attracted job seekers from across the country, as well as internationally, and many homeowners are reluctant to commit to longer term mortgages in view of early repayment charges should they decide to move in the meantime.”
