March sees remortgaging levels subside
Recent research has revealed that levels of remortgaging have begun to dip following a busy start to 2018.
The latest figures from UK Finance also showed that first time buyers continue to contribute to the housing market, with lending to those taking their first steps on the ladder, up by 2% year-on-year. This equated to a total of £5.1 billion being lent during March. The month saw 31,200 mortgages completed by the group, around 1,9% fewer than the corresponding month last year.
Where home movers were concerned, lending was by £4.7% year-on-year, dropping to £6.1 billion. March saw 28,400 new mortgages being completed by home movers, down by 7.8% on the corresponding month year-on-year.
Remortgaging was down 9.7% on the previous year, totalling £5.6 billion during the month. New homeowner remortgages were recorded at 32,400 in March, around 12% fewer than in the corresponding month in 2017.
Commenting on the research was Director of Mortgages at UK Finance, Jackie Bennett. She said: “Remortgaging levels softened in March after a busier than usual start to the year saw customers locking into attractive deals ahead of a potential interest rate rise.
There has been relatively flat growth in lending to first-time buyers, reflecting recent Bank of England figures showing a fall in mortgage approvals. Meanwhile, the buy-to-let market remains subdued, as recent tax and regulatory changes continue to have an impact on demand.”