It found that 83% of remortgages it completed during the month used a broker – up from 70% in July 2017 and the highest it has ever seen.
LMS chief executive Nick Chadbourne noted that in an environment where so many products are available, more people are looking to mortgage brokers for advice.
“Our data shows that the number of remortgagors consulting a broker has risen to 83% – the highest we’ve come across,” he said.
“In the current landscape, it’s sensible to consult a broker to get the best deals, considering not only headline rates but the additional value of extras such as free legals.
“Brokers can help people make sensible decisions and select the right product to suit their individual requirements.”
Other results from the data showed the volume of remortgages and loan amounts both reaching highs in June as the market took off this summer.
The volume of remortgages hit an eight-year high in June – based on a 12-month rolling average – with September 2009 being the last time current transaction levels were witnessed.
“Current levels are still some way off those seen before the global financial crisis, but compare with anything we’ve seen since,” LMS said.
Loan amounts also hit an all-time high with the current average remortgage worth £171,421 based on a three-month rolling average.
Meanwhile the proportion of borrowers remortgaging to pay off debt fell to 11% in July, down from 16% in June – the lowest percentage since the 10% registered in January.
The most popular reason for remortgaging remained reaching the end of a fixed-rate deal (75%) while home improvements were also cited as a reason by 25% of borrowers.
The five-year fix
Five-year fixed rate deals remain the most popular product type at 43% of transactions in July, up from 42% in June, with two-year fixes accounting for 24%, down from 25% in June.
Variable rate mortgages increased slightly in popularity in July but remain a very small part of the market, accounting for 3% of remortgages, up from 1% in June.
Chadbourne added: “Remortgaging volumes have been on an upward trend since the beginning of 2015 and the current 12-month rolling average shows an eight-year high.
He noted that growth has been driven by a combination of factors.
“People tracking rates to secure a fixed-rate deal ahead of a potential rate change over the summer, and a flurry of borrowers, correlating with a previous spike in the market.
“Back in the summer of 2016 interest rates hit a record low and people fixed on the rates available at that time on two-year deals. These borrowers are now reaching the end of their current arrangement and are returning to the market,” he added.