A further 35 per cent went for a two-year fixed product, while just four per cent opted for 10-year fixed rate mortgages.
When choosing their product, security over monthly payments was the main motivator for 76 per cent of borrowers.
Meanwhile, 11 per cent selected their mortgage based on broker recommendations. Some nine per cent said worries about the economy encouraged them to lock into a fixed rate.
Homeowners primarily used remortgages to raise capital as 46 per cent increased their loan size and nearly a third released equity from their properties.
Of those who upped their loan size, the average additional amount taken out was £22,231. Borrowers who reduced their loan size did so by an average of £10,906.
Some 27 per cent of borrowers remortgaged to lower payments.
On average, monthly mortgage payments fell by £217 for those who wanted to decrease payments. Homeowners who borrowed more money saw payments rise by £234 on average.
Nick Chadbourne, CEO of LMS, said: “February was a tale of two halves for the mortgage market. On the one hand, speculation over whether the stamp duty land tax holiday deadline would be extended was at a crescendo, fuelling an uneasy mortgage market as sellers and buyers considered delaying purchases while waiting for clarity.
“On the other hand, lenders regaining confidence paired with a raft of early repayment charge (ERC) expiries contributed to a healthy remortgage market.”
Chadbourne added: “While it is promising to see borrowers cashing in on the low repayment rates on offer, many borrowers may be relying on lower payments rates to keep up with repayments.
“As we move closer to the end of mortgage payment holidays and the furlough scheme, it is essential that brokers are clear on their client’s financial position to ensure the right product is secured.”