Despite being an increase on Q2, this figure still portrays more subdued lending than the same time last year - in Q3 of 2011, mortgage lending was 9% higher than the figures for this quarter.
There was also an overall average interest rate on new advances increased from 3.78% last quarter to 3.89% in Q3. There was an increase in the rates for both variable rate lending and for fixed rate lending. The proportion of new lending done at 90% or higher remained above 2% for the third quarter, although new lending with a combination of both high LTV and high income multiple showed only a further small upward move, remaining low in historic terms at 1.4% of new lending.
Lending for house purchase accounted for the highest proportion of new advances seen in this series, at 66%. This was up on both last quarter (62%) and on Q3 last year (60%). As a consequence, the proportion of advances for remortgages was the lowest ever at 27%. The figure for commitments for house purchase was also a series high at 66%.
