Lenders remortgage deals are looking more attractive.

Demand for remortage deals has increased significantly in reaction to increased rates and tightened lending criteria. In an effort to attract new business, lenders are pricing their remortgaging products more competitively.

There are currently many reasons that home-owners are considering a remortgage, one such reason being lenders SVR increases.

At the time the Halifax announced it was to increase its SVR by 0.50% there was concern that this would open the flood gates and other lenders would follow suit.

Several other UK lenders went on to make rate increase announcements of their own, lenders who have now hiked their SVRs include Bank of Ireland Mortgages, Royal Bank of Scotland, Yorkshire and Clydesdale Banks and more recently the Co-op.

Over one million mortgage-holders are believed to be directly affected by rate increases.

With a good level of equity of around 20% and above, a good remortgage deal should be available. Most mortgage holders would probably benefit from remortgaging unless they have an exceptionally low SVR, a long term tracker or a very low fixed rate.

Lenders regularly reprice their mortgage products with the majority of deals being available for around a month before becoming over subscribed. Currently most repricing seems to be in the upward direction making the need to act now to secure a good deal even more important.

According to Moneyfacts lenders average fixed rates are now 4.70% as compared to 4.48% at the beginning of the year. It is predicted that average rates could rise even higher, making a competitive remortgage deal a priority for those whose rates are rising.

Contact Deal Direct for a comparison of the best UK remortgage deals currently on offer.