April saw a 16% monthly drop in UK mortgage sales according to the most recent statistics.
The data from Equifax Touchstone indicated the sale of residential mortgages fell by £2.07 billion since March, a drop of 15.1%. Buy-to-let numbers experienced a slightly steeper decrease, falling by 20.4%. Generally speaking, the sale of mortgages during April dropped to £13.76 billion.
The fall in mortgage sales wasn’t restricted to one area either, with figures falling in every region of the UK. The most significant fall of 18.5% was observed in the North and Yorkshire, just ahead of London and the Home counties. Mortgage sales in these regions saw respective drops of 17.5% and 17%.
Commenting on the slowing sales was John Driscoll. The Director at Equifax Touchstone highlighted the extent of the fall, mentioning that political uncertainty may continue to impact mortgage sales in the short-term.
“Mortgage figures have nosedived following a strong first quarter, with every single region experiencing a notable slump in sales. Government measures to cool buy-to-let property sales, including the phased cuts to mortgage interest tax relief which started on 1 April, have no doubt played a role in diminishing sales figures last month.
“This government intervention, coupled with uncertainty surrounding the election, means we’re likely to see more volatility in coming months. The big question is where figures will go from here – this time of year is traditionally fairly buoyant for house-buying, but there may be too much uncertainty on the horizon to see an immediate rebound.”
