Remortgaging used to invest in property
Homeowners have cashed in on house price growth by freeing up money when remortgaging to buy another property. The proportion of borrowers releasing equity from their homes when remortgaging has increased in the last year, according to UK Finance. Borrowers took out extra money in 57% of remortgage cases in March. And a common reason for withdrawing a sizeable sum had been to purchase another home, a UK Finance spokesman said. This included buying a buy-to-let property, second home or a gift for family members. “A mixture of the stamp duty holiday and changing patterns of living and working have fuelled these trends, whether this is for owner-occupied, holiday or rental property,” he added.
The Daily Telegraph