Almost three quarters of borrowers who remortgaged in April saw their payments jump compared to what they were previously paying, the latest snapshot from LMS reveals.

It found that 71% of remortgage borrowers faced a payment rise, while 22% saw their payments fall.

For those borrowers whose costs increased, the average monthly bill jumped by almost £355.

There were 4% fewer remortgage instructions, but 9% more completions in April than March, according to the research.

Five-year fixed rates were the most popular choice, with 44% opting for these deals, just ahead of the 43% who opted for two-year fixes.

LMS chief executive Nick Chadbourne says: “The key mortgage figures from UK Finance in 2023 showed an increase in product transfers of 17.1% compared to those in 2022 – it is clear that the PT trend has continued into 2024.

“While not as significant as April, we are heading towards another spike [in current deals ending] at the end of July.

“Typically this would mean an increase in remortgage instructions a few months prior; however, as is shown, we have experienced an atypical decrease in remortgage instructions month on month.

“In other news, for the first time since November 2023, five-year fixed product has become the most popular choice amongst customers.

“Our data also shows that 73% of customers’ product choices are motivated by security and wanting to know how much to pay per month.

“Both metrics indicate that a critical driver for borrowers is wanting certainty of mortgage payments over the longer term; although the Bank of England suggests rates will reduce, borrowers are opting for potentially higher payments over a longer term to ensure they have that certainty.”