A drop in mortgage interest rates last month following the Brexit vote has borrowers rushing back to the bank, some hoping to cash in on their monthly mortgage payments and some hoping to cash out new-found home equity.
Whichever the case, lenders are trying, and in some cases failing, to keep up with the volume.
The decrease in interest rates after the late June Brexit vote meant 1.3 million more borrowers could benefit from a mortgage refinance, bringing the total to 8.7 million, according to a new report from Black Knight Financial Services. That is the highest number since 2012.
These newly eligible borrowers have rates currently at or above 4.25 percent. The drop in rates after the vote by the British to leave the European Union was barely 15 basis points on the 30-year fixed mortgage.