MORTGAGE LENDING HIGHEST SINCE FINANCIAL CRASH

Mortgage lending for home purchases grew in July, according to lenders. Lending to first time buyers and home movers was the highest since the financial crash. In total, 67,800 home purchase loans were advanced, up from 63,100 in June and from 64,700 in July last year. It was the third consecutive month of growth by volume and value.

By value, lending to first time buyers rose by 7% annually and 5% on a monthly basis. 30,200 loans were granted, up from 29,400 in June and 28,900 in July 2014. By volume and value, this was the highest level of lending to first timers since August 2007.

Furthermore, 37,700 mortgages were given

to home movers in July, the highest level by

volume since December 2009 and the highest by value

since November 2007.

This data compares with 25,200 loans for buy-to-let, around half of which – 11,800 – were for property purchase and the rest for remortgage. Remortgaging by homeowners dropped slightly, by 4.4% on the month, but up by a huge 34% annually, the highest of all loans. The value of remortgages was £5.1 billion in July, higher than that for home purchase and first time buyers.