The Bank of England’s most recent money and credit report shows that mortgage approval activity nudged upwards in October, standing at £4.1bn as compared to the £3.9bn lent out in September.
This equates to a yearly growth rate of 3.3 per cent for the month – in September, this figure stood at 3.2 per cent.
Unlike last month, which saw volumes go down as transactions rose, seasonally adjusted, 67,086 house purchases were approved in October, up from the 65,269 seen last month and marking the highest amount since January of this year.
Additionally, 49,339 remortgages were approved during the same time frame – almost drawing level with September’s 49,337.
North London estate agent Jeremy Leaf says: “These figures only tell the tale of what was happening in the lead up to the provisional Brexit settlement and so it is too early to determine the outcome of recent events. But what is clear from the performance of the property market is that the preoccupation with Brexit seems to be restricted to those in the southeast and is not regarded as being as important elsewhere.”
Legal & General Mortgage Club director Kevin Roberts adds: “There’s no doubt that Brexit and the ongoing political uncertainty has made some buyers and potential sellers act with caution, despite the current low interest rate environment. However, with its growing choice and flexibility, the mortgage market continues to entice borrowers looking for competitive deals.”