Remortgaging mitigating seasonal slowdown?

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Despite recent fears over the possibility of an over-long seasonal slowdown, Connells Survey and Valuation has reported that strong remortgage activity has dampened the annual effect.

The total number of residential property valuations conducted in November dropped slightly by 4% compared to October. However, total valuations were down by just 1% compared to November 2009 – despite market activity being significantly boosted at the end of 2009 by the surge of buyers looking to buy before the end of the stamp duty holiday.

An increase in the number of remortgagors in the market played a crucial role in softening the seasonal slowdown, Connells said. Remortgaging activity rose by 6% compared to October – its fourth successive monthly rise. This represents a year on year increase of 92% – albeit from a low base. Remortgaging now accounts for 23% of Connells’ valuations – the highest proportion since December 2008.

Ross Bowen, managing director of Connells Survey and Valuation, said: “Last November saw an increase in first time buyers looking to get a foot on the property ladder before the end of the stamp duty holiday. Despite the lack of such an incentive this year

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