Figures published today show a total of 108,857 mortgage loans were approved in June, up 8% from 100,451 in May. The total value of June’s approvals reached £16.4bn, up 15$ from £14.3bn a year earlier.
Purchase approvals rose 14% year-on-year from 58,865 in June 2013 to last month’s total of 67,196 – the highest level in 2014. The value of purchase loans rose from £8.9bn to £10.8bn.
Remortgages fell 2% from 32,330 in June 2013 to 31,682 last month. On a monthly basis, June was the first month in 2014 to see an increase in the number of remortgage approvals.
Despite the annual fall in volume, the value of remortgages increased, reaching £4.9bn, up from £4.8bn last year.
Paul Hunt, managing director of Phoebus Software Ltd, commenting on this morning’s figures says:
“After a drop in lending most months this year as lenders have got to grips with the MMR, the slight rise in June’s lending figures could well be the first indication that lenders have now got to grips with the new underwriting required and can start processing larger volumes. Of course one swallow doesn’t make a spring and at the start of what is usually the summer downturn it is likely that we will need to wait until September/October to see if this is the start of a series of rises or just a monthly blip.”
