Homeowners choosing to move rather than improve in 2020

Its figures show that the gap between remortgaging and moving home has shifted by 14% in favour of moving home between 2019 and 2020.

This represents a turnaround from the beginning of the year, when remortgaging became a focus for homeowners seeking to shore up their finances as the economic climate became increasingly uncertain.

Trussle’s data shows that more homeowners are moving to a new home (56%) than remortgaging on their current home (44%), compared to this time last year, where the majority of homeowners were prioritising remortgaging (63%) over moving to a new house purchase (37%).

Homeowner appetite for remortgaging started off the year strong, with applications in January up 196% month-on-month, and as the UK entered lockdown remortgage applications jumped 54% during March.

However, the stamp duty has proven popular with next-time buyers, with Trussle reporting a 73% surge in applications in June, as reports of a possible stamp duty holiday gained momentum.

Miles Robinson, head of mortgages at Trussle, commented: “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.”