New Mortgages granted – July Estimates
The Council of Mortgage Lenders reported on 25th August that July’s estimated figure for gross mortgage lending in the UK would reach £21.4 billion. This is much the same as last month’s figure of £21.5 billion, and 1% lower than last July’s figure.
Source: Council of Mortgage Lenders
New Mortgages granted – June Actual Figures
On 10th August, the Council of Mortgage Lenders reported on June’s gross mortgage lending for house purchase, on an unadjusted basis.
Loans to home-owners in June totalled 68,200, worth £12.3 billion. This is up 26% on May’s in number and 29% in value. Compared to last June, it is up 8% in number and 12% in value.
First-time buyer loans totalled 34,300, valued at £5.5 billion, which is up 24% in number and 28% in value on last month. This is 17% higher in number and 25% higher in value, compared to last year.
Home movers’ loans totalled £6.9 billion, and numbered 33,900. These figures are up 33% in terms of value and 28% of number on last month. The figures are up 5% in value and 0.3% in number on last year.
The number and value of remortgage loans increased – 32,400 loans worth £5.6 billion were made in June. These figures are 4% higher than last month’s in terms of volume and 8% higher in value. Over the year, the figures are down 2% in number but up 6% in value.
Director General of the CML, Paul Smee, stated that “First-time buyers are continuing to drive house purchase lending, outperforming home movers for the third month runningâ€.
Source: Council of Mortgage Lenders
Mortgages – First-time buyers and home-movers – June 2016.
The latest figures from CML (published 10th August 2016) show that first-time buyers’ mortgages average £135,400, which is 83.6% loan-to-value, and 3.55 times income. The proportion of their gross income that buyers are paying to service their mortgages is 17.9% (when including capital repayments). The average age of a first-time buyer is 30 years.
For home-movers, the average loan is £171,000, with a loan-to-value ratio of 72.5%, and 3.26 times income. Income proportion spent on mortgage repayments is 17.9% when including capital repayments, and the average age is 39 years.
Source: Council of Mortgage Lenders
Buy-to-Let Mortgages – June 2016 and Q2 2016
The Council of Mortgage Lenders reports that during June, the total advanced to landlords on buy-to-let mortgages was £2.9 billion (18,300 loans). This is up 12% in value and up 8% in number than in May. Compared with last June, the number has fallen by 17% and the value by 15%.
In the second quarter of 2016, landlords borrowed £8 billion with 51,600 loans. This is down 46% in value and 45% in number on Q1, and down 9% in value and 11% in number on Q1 2015.
Source: Council of Mortgage Lenders
New Mortgages granted – Second Quarter Actual Figures
The Council of Mortgage Lenders reports that gross mortgage lending for house purchase by home-owners in Q2 2016 totalled 169,600 loans, worth £30 billion. This is 4% higher than Q1 2016 in number but 2% lower in value. Compared to Q2 2015, it is up 3% in number but down 7% in value.
In Q1 2016, first-time buyer loans totalled 87,100, valued at £13.7 billion, which is up 23% both in number and value on last quarter. This is 14% higher in number and 21% higher in value, compared to Q2 last year.
Home movers’ loans totalled £16.4 billion, and numbered 82,600. These figures are down 16% in terms of value, and down 10% in number on last quarter. The figures are down 2% in value and 6% in value on the second quarter last year.
The number and value of remortgage loans increased in the quarter – 98,700 loans worth £16.9 billion were made in Q2. These figures are 10% higher than last quarter’s in terms of volume and value. Compared to Q2 last year, these figures are up by 17% in number and up 25% in value.
Source: Council of Mortgage Lenders
Outstanding Mortgages – June 2016
By the end of June, the total outstanding mortgage lending in the UK amounted to £1.298 trillion. Last June it was £1,268 trillion. This averages to £117,162 for each of the 11.1 million households with mortgage debt.
Source: The Money Charity