BBA: remortgage approvals up 20%

Published on

The British Bankers’ Association (BBA) has reported that mortgage approvals were around 8% higher in June than at the same time last year, after allowing for the effects of the change in mortgage rules.

Within that, remortgaging was some 20% higher, which the BBA said probably reflected borrowers’ appetite to lock in to current fixed rates and gain certainty over their future outgoings.

Lending to larger companies continues to be subdued, as alternative capital market finance grew by some £8.9 billion in the first half of 2015.

The proportion of active credit card accounts is at its highest for four years.

Richard Woolhouse, chief economist at the BBA, said: “The housing market is beginning to hot up again, with a pick-up in the number of mortgage approvals for the last month. Interestingly, we’ve also seen an increase in the number of people remortgaging, which could be down to savvy borrowers taking advantage of competitive deals on fixed-rate mortgages ahead of a possible rise in interest rates.

“Lending to some business sectors continues to show good results, although in the case of real estate, banks are being cautious as they try to refinance bad loans.

“It’s good news that savings deposits are also up this month, as consumers put away a little something extra for a rainy day.”

Latest POLL

COMMENT ON MORTGAGE SOUP

We want to hear from you!
Leave a comment and get the conversation started.
You need to register to post, so please login or sign up below.

Latest articles

Berkeley Alexander appoints new BDM

General insurance provider Berkeley Alexander has announced the appointment of Grant Robinson as a...

Newcastle for Intermediaries adds three-year fix range to mortgage offering

Newcastle for Intermediaries has introduced a new range of three-year fixed rate products. It said...

Mortgage product availability surpasses 25,000 for the first time

The number of mortgage products available in the UK has reached an all-time high,...

ASG Finance launches loan for HNW investors

ASG Finance has introduced its latest funding initiative: the ‘Base Rate Beater’ secured investment...

Other news

Why it matters that bridging hit more than £10bn last year

We see many numbers bandied around in the financial industry, which can sometimes have...

Berkeley Alexander appoints new BDM

General insurance provider Berkeley Alexander has announced the appointment of Grant Robinson as a...

Newcastle for Intermediaries adds three-year fix range to mortgage offering

Newcastle for Intermediaries has introduced a new range of three-year fixed rate products. It said...