When to remortgage - can market predictions help borrowers work it out?
Knowing when to remortgage is an important factor in finding a good deal and now is the time most experts are advising a switch. Remortgage demand and lending approvals may well be affected by recent news that UK gross domestic product showed a decline in the last quarter of 2011, and so home-owners wanting a good remortgage deal should get a move on.
In responding to news of economic negative growth, Blerina Uruci of Barclays Capital remarked that the figures show there is major weakness in the UK economy, although it is not believed this weakness in any way marks the beginning of a slide into further recession.
Economists are continuing to be optimistic that any possible further recession will be short term, if indeed it happens at all. This is good news for home-owners trying to work out when to remortgage, as lenders will not offer the most competitive remortgage deals when they are worried about lending risks in difficult economic times.
Philip Shaw who is from Investec, commented saying that UK output is most likely to show a decline for the first quarter of 2012, and this technically means that the UK will have entered a period of recession. However as various short term surveys have shown improved in the past couple of months it is now possible to say that the UK domestic economy is showing more resilience than had previously been forecast.
It is important that borrowers who want to know when to remortgage, follow current market forecasts and UK rate predictions. There are still attractive remortgage deals to be had through lenders who are ready to make a deal while the economic outlook is still good.
