Remortgage lending continues its recovery

The remortgage market’s recovery continued in July with the numbers of loans up 26 per cent year-on-year.

Figures from the Council of Mortgage Lenders show there were 31,000 remortgage loans in July. By value, remortgage loans were up 34.2 per cent year-on-year at £5.1bn.

The number of loans for house purchase hit 67,800 in July, up 4.8 per cent from 64,700 in July 2014. By value, lending was up 8.9 per cent year-on-year at £12.2bn.

Buy-to-let had a strong July, with the number of loans up 39.2 per cent year-on-year to 25,200 cen. By value, buy-to-let lending was up 52 per cent annually, reaching £3.8bn in July.

CML director general Paul Smee says: “The market has shown steady growth in house purchase and buy-to-let over the past few months with general improvements in economic factors across the UK allowing for more people to enter the property market.

”This positive direction of travel going into the autumn months reinforces our recent revised forecasts that lending levels should continue to grow gradually over the rest of the year after a subdued beginning of the year.”