Why are these related?
Because the biggest reason mortgage strategists are looking at a boom in remortgages is fairly simple: most people are on their lenders’ standard variable rate (SVR). The SVR interest rate is quite low for a lot of lenders at the moment.
Most new mortgages are being sold on fixed-rate terms, though, because people aanticipate the end of the low-rate golden age.
When the base rate rises, variable-rate mortgages will rise too. The Bank of England hasn’t set a date for a rise, but predictions seem to be aimed at the first quarter of 2015.
So, it’s a good time to shop around for the best deal, and seriously consider fixing your terms.