Mortgage market activity continued to strengthen in May, with search volumes rising, remortgaging remaining strong, and first-time buyer demand continuing to grow, according to the latest figures from Twenty7tec.
Total search volumes rose strongly month-on-month and product availability reached a new record high of more than 25,000 live options on the platform.
In May, searches for two-year fixes accounted for 47.6% of all fixed product searches, up from 34.3% in April and 45.6% in May 2024. Three to five-year fixes accounted for 31.9% of searches and five to ten-year fixes for 21.4% - down slightly from 21.6% in April but up from May 2024’s 20.3%.
13th May set a new milestone, with advisers generating 30,120 ESIS documents in a single day – nearly double the average daily volume seen so far this year.
First-time buyers were a key part of the momentum, with 352,958 purchase searches in May, up 13.9% compared to last year and 3.5% ahead of April. Firsts-time buyers made up 37.3% of all residential search activity in May, up from 33.9% in the same month last year. Nearly half (48.2%) of those searches were for 90%+ LTV products.
Remortgage activity was another strong performer, up 23.1% year on year. In contrast, the buy-to-let market continues to cool. Buy-to-let purchase searches were down 11.7% year-on-year, representing just 14.8% of all searches – one of the lowest monthly shares on record, and part of a continuous steady decline from the 23.9% peak in 2018.
Nathan Reilly, commercial director at Twenty7tec, said: “May felt like a month where confidence picked up noticeably. Search volumes were up, remortgaging remained strong, and first-time buyer demand continued to grow. The product landscape is the most competitive it’s ever been, and that’s good news for advisers and their clients.
“It’s also interesting to see the return of shorter-term fixes as a dominant product choice. With so much speculation around interest rate direction, borrowers seem to be positioning themselves for flexibility.
“Behind the numbers is the role of technology. Advisers are navigating a complex landscape, and a platform like ours is helping them do it faster, with less admin and more certainty. From affordability checks to research and applications, the integrated tools we provide give firms the confidence to act quickly and compliantly.
"We’ve always said our mission is to support better advice, smoother lending, and smarter decision-making. May’s performance is proof that when tech is working well behind the scenes, advisers can focus on what matters most: helping clients make good financial decisions.”
