Industry lobby group UK Finance says there were 27,370 new first-time buyer mortgages completed in April 2019, 7.9% more than in the same month in 2018.
It adds that there 5,100 new buy-to-let house purchase mortgages completed in April 2019, the same as this time last year. There were 14,400 remortgages in the buy-to-let sector, the same as this time last year.
Industry lobby group on overdrafts
The industry is working on a voluntary agreement to make the cost of overdraft borrowing easier to understand for consumers which will be implemented in April 2020. This will build on the range of measures already introduced by the industry, such as text alerts which have been shown to reduce overdraft charges by 25%. Overdrafts can provide a convenient way for customers to smooth their short-term cashflow, and there is a highly competitive market in the UK with over 96 products on offer. We would always urge customers to speak to their bank and arrange an overdraft in advance to ensure payments are honoured.”
More on mortgage data
More on that mortgage data.
Howard Archer, chief economic adviser at the EY Item Club of forecasters, has been looking at the rise in mortgage approvals to
42,989 in April from 40,564 in March.
That's the most since February 2017, he said.
"This marked a clear upside breakout
of the 38,000-40,000 range that had previously largely held since the
beginning of 2018," he said.
"April’s marked rise in mortgage approvals suggests
that housing market activity may well have got at least some temporary support
from the avoidance of a disruptive Brexit at the end of March. It may very well
also be that the housing market has benefited from recent improved consumer
purchasing power and robust employment growth," he added.
But, he expects any boost to be limited and estimates that house prices will rise "only" 1% over the year.
Number of mortgages rises
Banks approved 42,989
mortgages in April, up from 40,564 in March and 11.5% higher than a year ago on a seasonally-adjusted basis.
UK Finance, industry lobby group, said mortgage lending
rose by £1.8bn last month, less than the amount in March when the figure was £2.4bn.
Consumer lending increased 3.8% year-on-year in April, below March's 4.1%.