The news comes as Barclays launches a two-week limited edition remortgage-only range.
Research from property services firm LMS revealed December’s equity withdrawals were 35% higher than November and 67% more than the previous year.
Loan-to-values (LTV) edged up slightly from 57% to 60% between November and December and overall gross remortgage lending grew from £3.6bn in November, as reported by the Council of Mortgage Lenders, to £3.7bn recorded by LMS. The number of loans grew by 4% to 24,930 in December.
Andy Knee (pictured), chief executive of LMS, said: “The close of 2014 saw a familiar pattern; that of record amounts of equity being withdrawn through remortgaging to cover costs incurred during the festive period. This year, however, was on an even larger scale than previous years – a sign that economic improvements are struggling to filter through to many households, especially at Christmas.”
Throughout January lenders have been slashing rates and launching long-term fixed rates for first-time buyers and homemovers but today Barclays announced a limited edition range of fixed rates exclusively for remortgage borrowers.
The range is available for two weeks and starts at 1.49% fixed for two years at 60% LTV with fee-free options and five-year fixed rates starting from 2.39%.
To take advantage of these limited edition products homeowners will need to be in a position where they are able to complete before 31 March 2015.
