E.surv chartered surveyors reports a decline in the number of approved mortgages in November from the previous month.
However, a competitive remortgage and first-time buyer market has seen activity up by 4 per cent compared to November 2017.
According to the report, the number of approved mortgages in November 2018 was 67,109, with 25.9 per cent of all loans going to borrowers with a small deposit – a total of 17,381.
E.surv reports that this is accountable to the decline in large and mid-market borrowers, with the latter standing at 28.9 per cent in November against 29.6 per cent last month, and the former going to 45.2 per cent of borrowers versus October’s number of 45.8 per cent.
The chartered surveyors report that northern regions of England and Northern Ireland attract the largest quantity of small deposits.
With 34.8 per cent of loans awarded for smaller deposits in Yorkshire, this was higher than any other region – and in London, just 16.5 per cent of borrowers were in this category.
In contrast, large deposit borrowers made up 38.2 per cent of the market in London, whereas in Yorkshire only 20.7 per cent applied and were approved for this type of loan.
E.surv director Richard Sexton says: “The latest approval figures suggest that cheap mortgages are attracting a consistent level of borrowers into the market.
“The market has continued to shift towards those first-time buyers and others with smaller deposits, and away from those with large amounts of equity in their property.
“People looking to buy in northern parts of England, as well as Northern Ireland, tend to have smaller deposits while those closer to London must have a big amount of cash to put down.”