The average remortgage loan amount in London was £368,047, while the average for the rest of the UK stood at £172,268 making remortgage loan amounts 114% higher in London than in the rest of the country.

This is according to the July Remortgage Report from LMS which also revealed that £367.03 was the average monthly payment increase for those who remortgaged in July.

Some 45% of borrowers increased their loan size during the month and 44% of those who remortgaged took out a 5-year fixed rate product, the most popular product last month 26% said their main aim when remortgaging was to release equity in their property.

The data shows that 45% increased their total loan size; 35% saw no change in their total loan size and 19% reduced their total loan size

The average loan increase post remortgage was  £20,243 and the average loan decrease post remortgage was £15,561.

Commenting on the latest data, LMS chief executive  Nick Chadbourne said: “Q4 is always a busy time for product expiries, and this year is no different. The recent reductions in mortgage rates from a number of large lenders bode well for customers coming to the end of a fixed rate. But let’s remember that many of these customers were on historically low rates, so they are in for a bit of a shock – hopefully, the recent reductions soften the blow.”

He added: “Looking further ahead, I feel we are on the cusp of some meaningful activity. We expect a15-20% increase in product changes next year, and with the automation and improvements in remortgage conveyancing, we may see a move away from product transfers and a shift to full remortgage switching.”