The report also reveals that 42% of borrowers increased their loan size in April and the average monthly payment increase for those who remortgaged was £290.36.

However, 34% saw no change in their total loan size, while 24% reduced their total loan size. The average loan increase post remortgage was £20,555.41; the average loan decrease post remortgage was £14,418.16

Half (50%) of those who remortgaged took out a five-year fixed rate product, the most popular option last month.

Of those surveyed, 29% said their main aim when remortgaging was to have lower monthly payments.

The average remortgage loan amount in London was £326,141 per month while the average for the rest of the UK stood at £163,320, making remortgage loan amounts 100% higher in London than in the rest of the country.

Comment on the latest figures LMS chief executive Nick Chadbourne said:“For the first time in two years, half of all borrowers are now opting for five-year fixed rate mortgages. This marks a significant shift in borrower sentiment, highlighting a growing preference for financial stability and long-term certainty, even as market indicators continue to suggest that further interest rate reductions are likely in 2025.

“This trend suggests that many households are more concerned with shielding themselves from potential volatility than attempting to time the bottom of the rate cycle.”

Looking ahead to the remainder of the year, Chadbourne expects remortgage volumes to remain robust as a large cohort of borrowers come off historically low fixed rates.

“With continued economic uncertainty and fluctuating inflation data, many are likely to favour fixed options, even as expectations for lower rates persist. The balance between market optimism and personal financial caution will remain a key theme in the remortgage landscape for the rest of 2025.”