You are here: Home - News -

House purchase approvals rise 17% YoY – Bank of England

by:
  • 30/11/2015
  • 0
House purchase approvals rise 17% YoY  – Bank of England
Mortgage approvals for house purchases rose by 17% year-on-year in October to 69,630 agreed transactions valued at £12.2bn, statistics from the Bank of England reveal.

Remortgage approvals rose by 27% year-on-year to 39,629 agreed transactions in October worth £6.8bn. Compared to the previous month’s approvals, house purchases rose by 0.9% while remortgaging dropped by 3.3%.

Both categories of lending exceeded their six-monthly averages of 68,099 for house purchases and 38,430 for remortgages.

Approvals for other purposes were 12,178 compared to an average of 11,297 over the previous six months.

Total secured lending increased by £3.6bn in October to hit £20.1bn. This compares to the average monthly increase of £2.8bn. Repayments in October were £17bn.

The Council of Mortgage Lenders has predicted that gross mortgage lending for 2015 will be £209bn and will increase to £220bn by 2016 year-end.

Peter Rollings, CEO of Marsh & Parsons, said Osborne’s plans to add a Stamp Duty premium of 3% to second homes and buy-to-let properties will create in a stir in the market in the months to come.

“These figures only look at October, George Osborne’s package of housing announcements in the Autumn Statement last week will have keyed up a new wave of first-time buyers eager to get their foot in the door,” said Rollings. “We may also see a winter flurry of buy-to-let borrowing before April’s Stamp Duty shake-up, as landlords seek to invest before the additional charge is levied on second homes.

“The big question as we enter the New Year is whether the supply of homes will match the increasing demand that’s clearly evident in the mortgage market.”

 

There are 0 Comment(s)

You may also be interested in

Business Skills

In this section, we offer short ‘how to’ guides on harder to crack areas of business. From social media, to regulation or niche product areas, we cover it all.

Profiles

Our journalists interview key industry entrepreneurs, strategists and commentators for day-to-day market insight and a strategic view of where the industry is heading. We offer lessons for success and explore the opportunities for your business

Success in Practice

Here, we share case studies fleshing out best practice to help you decide what could work for your business. Take a look at how others approached complex tasks like launching a new mortgage lender, advising on a new product area or deciding to specialise in another. Learn from others mistakes and triumphs.

Marketwatch

Each week, we ask top mortgage and property commentators with a unique perspective to examine a key news headline, market move or regulatory or political issue.

Poll

Vote in our weekly poll here. It’s your chance to tell us what you think and be heard on the top news stories of the week. Review our archive to find out what your industry really thinks and all our coverage of the results.

Top Comments

Be part of the conversation on Mortgage Solutions. We want to hear from you. We have a tool called Disqus to tell us which stories get the most comments each week. Every Friday, the team picks the most thoughtful or opinionated contributions from our readers to enjoy again. Don’t forget to share your favourite stories from the site on social media to keep the conversation going.
  • RT @robjupp: Great day yesterday for donations to @MortSleepOut. With Gift Aid, we are now close to £17,000. It would be great to get to £2…

Read previous post:
Headshot of Ying Tan, managing director at The Buy to Let Business
Landlords will continue to evolve and remain resilient – Ying Tan

The Chancellor's rabbit out of the hat announcement on buy-to-let tax changes during his Autumn Statement this week is undoubtedly...

Close