Mortgage approvals improve in third quarter

November 12, 2015

According to the Council of Mortgage Lenders in their press release yesterday there was a reported pick up in mortgage approvals in the third quarter

First-time buyers saw month-on-month and year-on-year increases in activity by volume and by value in September.

Home mover lending by contrast saw a dip in September compared to August, but grew by volume and by value compared to a year ago.

Home-owner remortgage activity rebounded after a dip in August to increased levels in September both compared to a month ago and the same time last year.

Buy-to-let saw year-on-year increases by volume and by value in both buy-to-let house purchase and buy-to-let remortgage.

First-time buyers increased in number of loans advanced and amount borrowed both in comparison to quarter two and the third quarter last year.

Home mover lending saw a similar trend to first-time buyers but the percentage increases by volume and by value were higher.

Home-owner remortgage activity saw an increase compared to the second quarter of the year, but a more substantial increase compared to the third quarter 2014.

Buy-to-let saw large quarter-on-quarter and year-on-year increases by number of loans and amount borrowed.

Paul Smee, Director General of the CML, commented: “The market was a slow starter this year, but this quarter shows it is now firmly on an upward trajectory. With competitive rates and high levels of product choice currently available, alongside generally improving economic conditions, we expect this to continue as we head into the new year.

“Buy-to-let continues its growth this period, but at 18% of new lending in September remains the fourth largest lending type behind first-time buyers, home movers and remortgage. There were five times as many house purchase loans to home-owners as buy-to-let landlords in September, and the growth in buy-to-let lending largely continues to reflect its more belated recovery from recession”.

Full details on the CML website: https://www.cml.org.uk/news/press-releases/septembersecond-quarter-press-release/

 

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

Estate Agent Talk

Understanding the Metrics Used by Estate Agents to Determine Your Home’s Worth

Determining the value of a property can sometimes feel like a complex process shrouded in mystery. However, understanding the various metrics and considerations that estate agents use to assess your home’s worth can demystify the process and empower you as a homeowner. This blog will provide a comprehensive guide to the key factors estate agents…
Read More →
Estate Agent Talk

Leasehold vs. Freehold: Which is Better for You?

When stepping into the world of property ownership, understanding the difference between leasehold and freehold properties is essential. Each type has its own set of advantages and drawbacks, and the choice between them can significantly impact your long-term experience as a property owner. Whether you’re a first-time buyer or a seasoned property investor, knowing which…
Read More →
Estate Agent Talk

The Comprehensive Process Behind Your Home Valuation: What Estate Agents Look For

When considering selling your home, one of the most important steps is getting an accurate valuation. This ensures that your property is priced competitively in the market, attracting potential buyers and securing a good return. Estate agents have a thorough process to determine a property’s value, taking into account various factors that can influence its…
Read More →
Estate Agent Talk

How to Prepare Your Home for a Quick Sale Without Compromising Value

Selling a home quickly without compromising on its value can seem challenging, but with the right approach, it is achievable. By strategically preparing your property, you can ensure it attracts the right buyers and secures a strong sale price. Whether you’re looking to upgrade, downsize, or relocate, the following expert tips will guide you through…
Read More →
Letting Agent Talk

The pros and cons of renting to students: is it the right choice for you?

Student properties are no different in term of quality and facilities than any other type of private rental. And although landlords may have to spend a fair amount on setting up and properly maintaining student lets, they can also charge a good market rent. To help you decide whether letting to students might be worthwhile…
Read More →
Finance

Autumn Budget Misses Mark on Housing Reform: UK Rental Market Squeezed by Shortages and Rising Rents

The UK rental market faces mounting pressures, with a recent Rics survey revealing a critical shortage of properties and surging rent prices. Landlord instructions, a key indicator of properties available to rent, fell to a net balance of -29%, marking this the lowest level since 2021. Strong tenant demand is driving rents higher, with 33%…
Read More →