Housing market activity has been growing modestly since the start of the year according to UK Finance.

Market Commentary September 2017 published yesterday by UK Finance reveals estimate of gross mortgage lending for August is £24.2 billion, of which £15.1 billion was lent by High Street Banks. Accounting for seasonal factors, it is in the same ball park as monthly lending over the course of 2017.

They state: Housing market activity has been growing modestly since the start of the year, though the mix has shifted towards first-time buyers, away from buy-to-let and cash. There is evidence of some rebalancing across regions, as activity picks up in the north of England, Wales and Scotland, away from London, the south east and east Anglia.

In the report Mohammad Jamei, UK Finance’s senior economist, mentions:  Housing market activity has been growing modestly since the start of the year. Overall activity resembles what  we saw just over two years ago,  in 2015.

The mix of activity under the aggregate figures has shifted though, so while property transactions  have averaged just over 100,000 a month since the turn of the year, much of this is driven by first-time buyers, less so by cash and buy-to-let. This level of activity is not expected to change much in the short-term, as the leading indicator of activity – house purchase approvals – has now returned to where it was at the beginning of the year.

Later in the report he adds: On the remortgage side, strong competition and low funding costs has meant a growing number of home-owners are taking advantage of the near record low mortgage rates. We expect more home-owners to refinance in the coming months, as prospects of the first interest rate rise in over 10 years gains new impetus.

To read the UK Finance Market Commentary September 2017 in full click here.

 

Allen Walkey

Highly experienced businessman with a successful career in property sales and investment both in the UK and abroad. Now a freelance writer and blogger for the property and Investment Industry, keeping readers up-to-date with changes and events in a rapidly changing world.

You May Also Enjoy

Property for sale
Estate Agent Talk

5 Top Tips for Increasing the Value of Your Home

For some people, buying a home, working on it and then selling it is the primary goal to keep upgrading homes. Whether you choose to re-decorate or re-model the property, a renovation of your home can help to keep the ball rolling towards enabling you to secure a profit on your next house sale. Whilst…
Read More
Breaking News

Sdlt Hike Spurs Record Home Sales by Auction

iamproperty is crediting the recent Stamp Duty Land Tax (SDLT) hike and rising consumer awareness as the reasons behind a record-breaking quarter for Auction. The market conditions led to an 11% increase in the number of iamproperty Auction sales in the first quarter of the year, compared with the same period last year. iamproperty’s Partner…
Read More
Breaking News

Changes to mortgage affordability to support sales as house price growth cools

House price growth has slowed to 1.6 per cent annually, down from 1.9 per cent at the end of 2024, as buyer interest cools and the number of homes for sale continues to expand Buyer demand is one per cent higher than a year ago, while the number of homes for sale is 12 per…
Read More
Love or Hate Rightmove
Breaking News

Rents rise to new record despite boost in supply

The average advertised rent of homes outside of London has risen to a new record this quarter of £1,349 per calendar month (pcm), however it is the smallest increase in rents at this time of year since 2020: London rents also rise by 0.1% (+£3) to a 14th consecutive new record of £2,698 pcm this quarter…
Read More
Breaking News

Size Matters in Planning

The House Builders Association (HBA), the housebuilding division of the National Federation of Builders (NFB) has reignited its campaign for the planning system to adopt five clear site size definitions, replacing the current, arbitrary ones of ‘Minor’ (one to ten homes) and ‘Major’ (ten and above). Richard Beresford, Chief Executive of the NFB, said: “In…
Read More
Breaking News

Popping the Asking Price Bubble

Where in the Uk Can Buyers Snap Up Property Bargains and Where Properties Go for a Premium Above Asking Price   New research from fast selling property company, Upstix has uncovered the UK’s most surprising postcodes for snapping up a property at bargain prices this year, highlighting a widening gap between sellers’ expectations and the…
Read More