Mortgage lending up as UK house prices settle
Gross mortgage lending increased by 7% in July to hit its highest monthly figure in almost six years, but international and UK mortgage lenders said pressures on budgets could start to dampen housing market activity.
Figures from the Council of Mortgage Lenders (CML) showed that a total of £19.1bn was advanced to borrowers during the month, 15% higher than the £16.7bn recorded in June 2013 and the highest figure since August 2008.
The pick-up in lending follows a slowdown in the wake of the mortgage market review in April, which brought in new rules on affordability tests for borrowers and forced lenders to “stress test” applicants to ensure that they could still meet repayments if interest rates rise. The new rules only affect those applying for main home loans and not buy to let purchases.
The CML said activity had “remained robust” despite the changes, but warned the market still faced “headwinds”.
Recent data from surveyors and the property website Rightmove suggested the market has started cooling in recent weeks, as more homes have been put up for sale and the supply-demand balance has shifted in favour of buyers.
That was backed up by the most recent UK Land Registry data which showed process had ground to a halt in June. Whilst many parts of the country actually experienced a slight decline in values, London, for so long the engine room of average price growth, ground to a halt, recording just a 0.1% rise for the month.
International mortgage brokers Offshoreonline.org are expecting the market to tighten, as at least one major lender has stopped offering UK mortgages for expatriates in Singapore and Qatar, two important expat centres.
Meanwhile, the broker has reported a surge in interest in expatiates looking for euro mortgages to buy in France, as interest rates there continue to fall.
« Back to News
Latest News
- Zoopla reports number of UK homes for sale at a six-year high, best buyers’ market for years
- Better expat mortgage rates lift property enquiries but poses fixed or variable rate expat mortgage question
- Where next for UK expat mortgage rates?
- Falling UK house prices and steeply rising rental yields spurs expat buy to let enquiries, reports broker
- Great time for US dollar earners and US residents to invest in European real estate
- Good news for expat UK house buyers, as expat mortgage rates start to ease
- Falling house prices, high mortgage rates – should UK expats buy a house now?
- The 5 cheapest cities for first-time buyers
- Why getting a mortgage in France is now so much easier for buyers from the USA than the UK
- Green shoots appearing in UK property market, good news for expat house buyers
- UK Housing asking prices see smallest February increase on record
- Optimistic signs in expat buy to let market as mortgages rates fall and prices stabilise
- Expat UK property investing: Three positive signs, thinks broker
- Expat buy to let market still strong after two rate rises, says broker
- Recovery and strength in the UK housing market for 2022?
- Expat broker optimistic on post Covid UK buy to let housing market
- Broker warns over mortgage payment holidays
- Buying UK buy to let property after lockdown – expats will have the upper hand, thinks broker
- Expat lenders react to keep expat mortgage deal flowing during COVID-19 crisis
- Coronavirus impact on UK housing might be short lived, thinks expat mortgage broker
- Getting a mortgage whilst living abroad or getting a mortgage after you have moved abroad.
- What Happens when my UK Expat Mortgage Expires?
- Buy to let bargains abound, thanks to Brexit effect, thinks broker
- Expats increasingly vulnerable to new build deposit loss
- UK house hunters lead 6% growth in French non-resident property transactions
- Expat Buy to Let Mortgage Rates Cut Again
- Brexit fears give expats the edge, as UK buyers shun property
- Mortgage tax changes in Spain help buyers
- Expat mortgage broker predicts banks will not pass on full Base Rate rise to mortgage holders.
- Falling Expat Mortgage Interest Rates and Weak UK Housing Market Favour Expat Buyers
- UK property beats pensions, says UK official study
- Taxes for UK expat landlords might not be so hard after all
- Why a sinking pound need not scupper your French property dream
- Is it time to add UK university fees to your expat mortgage?
- Resurgent Spanish property market prompts new mortgage launches
- The new landscape for UK property investors – still good value
- New UK Buy To Let Rules Will Impact Expat Property Buyers – 2017
- UK rent rises continue to outstrip inflation, expat buy to let remains popular
- UK Stamp Duty hike not as harsh as first feared for expat property buyers
- Do I qualify for expat or international mortgages?
- Brexit need not harm the expat mortgage market, thinks Offshoreonline
- UK stamp duty changes, capital gains tax changes will impact expat buy to let investors, so start planning your checklist now
- Booming London property rents continue to attract expat buy to let landlords
- New UK Stamp Duty Won’t Dent Appeal of Buy To Let Mortgages For Non UK Residents
- QE spells heaven for overseas property buyers in Europe
- Thinking about buying a house in 2015? For expats, the signs are good
- UK property prices on the up in 2015 good news for expat buyers
- UK Stamp Duty changes – the winners and losers
- French expat euro mortgage rates fall again
- New house price index to make life easier for French euro mortgage house buyers