Mortgage Market Update – August ’15

New Mortgages granted – June Estimates

The Council of Mortgage Lenders reported on 16th July that June’s estimated figure for gross mortgage lending in the UK would be £20.5 billion. This is 29% higher than May’s figure, and 15% higher than last June’s figure.
Source: Council of Mortgage Lenders

New Mortgages granted – May Actual Figures

The Council of Mortgage Lenders reports (14th July) that gross mortgage lending for house purchase by home-owners in May totalled 49,000 loans, worth £8.4 billion. This is 1.4% higher than April’s in number and 2.4% higher in value. Compared to last May, it is down 15.8% in number and down 12.5% in value.
Of these, first-time buyer loans totalled 22,700, valued at £3.4 billion, which is up 1% in number and 3% in value on last month. This is 16% lower in number and 13% lower in value, compared to last year.
Home movers’ loans totalled £5 billion, and numbered 26,300. These figures are up 2% both in terms of number, and in value on last month.  The figures are down 15% in number and down 12% in value on last year.
The number and value of remortgage loans fell in the month – 22,700 loans worth £3.7 billion were made in May. These figures are 10% lower than last month’s in terms of volume and in value. Over the year, these figures are down by 4% in number but up 3% in value.
Source: Council of Mortgage Lenders

Mortgages – First-time buyers and home-movers – May 2015.

The latest figures from CML (published 14th July 2015) show that first-time buyers’ mortgages averaged 81.4% loan-to-value, and are 3.34 times income. The proportion of their income that buyers are paying on interest is 9.8%, but this rises to 18.2% when including capital repayments.
For home-movers, the loan-to-value ratio remains steady at 72.9%, and is 3.01 times income. Income proportion spent on interest is 7.4%, which rises to 17.7% when including capital repayments.
Source: Council of Mortgage Lenders

Buy-to-Let Mortgages – May 2015

The Council of Mortgage Lenders reports that during May 2015, the total advanced on buy-to-let mortgages was £2.7 billion (19,100 loans). This is up 1% in value and unchanged in number than in April. Compared with last May, the number has risen by 22% and the value has risen by 29%.
9,700 loans worth £1.5 billion were for remortgage – a drop of 2% in number but unchanged in value on the previous month. Compared to last May, the figures are up 35% in number and up 36% in value.
Buy-to-Let loans for house purchase totalled 9,200 worth £1.2 billion, a rise of 3% in number and unchanged in value on last month, and a rise of 11% in number and of 20% in value on May 2014.
Source: Council of Mortgage Lenders

Outstanding Mortgages – March 2015

By the end of May, total outstanding mortgage lending in the UK amounted to £1.265 trillion. Last May it was £1,246 trillion. This averages to £114,192 for each of the 11.1 million UK households with mortgage debt.
Source: The Money Charity

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