Mortgage approvals rise slightly in October: BoE

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.”

Recommended

Colin Snowdon

Mortgage approvals up in October: e.surv

First-time buyers and existing homeowners capitalised on low rates across the mortgage market in October, according to e.surv. The surveyor’s Mortgage Monitor recorded 67,011 mortgages approved during the month of October (seasonally adjusted). This figure is 2.7 per cent higher than September’s approval figure and 3.5 per cent up on October 2017. E.surv says that […]

e.surv logo

Spike in first-time buyer mortgage approvals: e.surv

First-time buyers and other borrowers with small deposits took a greater share of the market in September compared to August, according to e.surv. The surveyors’ mortgage monitor report found there were 66,704 mortgages approved during September. The proportion of the market targeted at borrowers with small deposits (with a deposit of 15 per cent or […]

November letters of the month

Star Letter Clarity needed over homes scheme Communities secretary James Brokenshire announced a £20m fund to help people facing homelessness secure a home in the private rented sector. Some of the people this scheme is designed to help may have difficulty providing sufficient evidence the government requires landlords (under threat of jail) to obtain to […]

Newsletter

News and expert analysis straight to your inbox

Sign up