Remortgaging in May hit £3.9bn, up 17.1% from April and at its highest level since October 2012.
According to the latest LMS figures, the remortgaging rate is up 37.2% from January. LMS figures reveal that total gross mortgage lending is also up 21% to £14.7bn.
They anticipate a steady upward trend as customers continue to take advantage of current competitive deals.
The average remortgage loan amount has risen by 3.9% over the past month and now stands at £145,754. This is the highest figure LMS have on record.
Andy Knee, Chief Executive of LMS said: “Despite a considerable increase in gross mortgage lending, remortgages continue to account for more than a quarter of the market.
“The average loan per person is at an all-time high, with an average of £19,325 being released to spend of paying off debts or to supplement income.
“We have seen a brilliant start to the year and we expect it to continue as the Funding for Lending Scheme (FLS) continues to encourage competitive rates for remortgage customers.”