Summer mortgage approvals pick up pace
The total amount of mortgages approved is up 11% on the first three months of the year, new Bank of England figures reveal.
At £77.4billion for the three months from April to June, the amount is also 31.7% higher than the same period a year ago, when there were changes to Stamp Duty thresholds.
Meanwhile, the share of mortgage advances with loan-to-value (LTV) ratios exceeding 90% increased 0.4% from the previous quarter to 8.4%. It is the highest share since 2008, and 1.4% up on a year ago.
The share of buy-to-let mortgages approved decreased by 0.9% from the previous quarter to 8%, the lowest since 2024, and 1.2% down on last year.
Hopes dashed
Earlier this month, hopes of a mini recovery in the housing market appeared to be dashed when the latest mortgage approval data showed a slump in the total.
Mortgages agreed decreased to 56,100 in July, down 2,100 from 58,200 the previous month, according to the Bank.
It is extremely welcome news to see the value of gross mortgage advances increase during the second quarter of 2026.”
Nathan Emerson, Chief Executive of Propertymark, says: “When looking at the year to date, we have seen a myriad of complications within the economy that were largely unexpected at the very start of the year.
“From a consumer viewpoint, affordability has rightly been in sharp focus; however, it is extremely welcome news to see the value of gross mortgage advances increase during the second quarter of 2026.”
Daunting task
Rachel Springall, Finance Expert of Moneyfacts, says: “The rise in the proportion of mortgages above 90% loan-to-value has reached its highest level in 18 years, showing just how vital low-deposit borrowing has become in the housing market.
“Saving a large deposit is a daunting task for many borrowers, so it is essential that lenders continue to adjust their affordability criteria fairly and create innovative products to help borrowers.”
The post Summer mortgage approvals pick up pace appeared first on The Negotiator.
Author: Gemma
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