Mortgage approvals up - Mortgages - News - Moneyfacts

News

Mortgage approvals up

Mortgage approvals up

Category: Mortgages

Updated: 27/01/2010
First Published: 30/03/2009

MONEYFACTS ARCHIVE
This article was correct at the time of publication. It is now over 6 months old so the content may be out of date.

Hopes that a recovery in the housing market is under way have been fuelled further after figures from the Bank of England revealed the number of loans approved for house purchases rose to 37,937 in February.

The surprise news represents a rise of almost 6,000 compared to January when there were 32,000 approvals.

It is the highest figure recorded since May last year and also more than ten thousand higher than the record low of 27,330 seen in November.

Recent surveys have suggested that, against a backdrop of low interest rates and falling house prices, buyer enthusiasm is on the rise.

Simon Rubinsohn, the Royal Institution of Chartered Surveyors' chief economist, said it was further evidence that the pick-up in buyer interest in the housing market is feeding through into actual activity.

"This reflects in no small measure the improvement in affordability in the wake of the 20% drop in house prices and the sharp reduction in borrowing costs," he added.

Paul Samter, chief economist at the Council of Mortgage Lenders has urged for a degree of caution, however, noting that only month-on-month increases would truly denote marked improvement and recovery in the housing market.

Disclaimer: Information is correct as of the date of publication (shown at the top of this article). Any products featured may be withdrawn by their provider or changed at any time.

Related Articles

Remortgaging bounces back

Remortgaging has been enjoying a welcome boost in recent months, despite September’s slight dip, with many homeowners capitalising on record low mortgage rates to boost their finances.

Bank of Mum and Dad holds the (house) key

The Bank of Mum and Dad is an important source of finance for many young adults, and it seems that they still hold the key – in more ways than one.

Fee-free mortgages on the rise

Mortgage rates may be at record lows, but for some people, the extra costs associated can make switching deals a financial impossibility. It’ll come as welcome news, then, that the number of fee-free deals has more than doubled over the past year!
 
Close