Jump to content
House Price Crash Forum
Sign in to follow this  
Ash4781

Mortgage Approvals To Sales

Recommended Posts

With the restricted supply (lack of forced sellers in temporary imbalance ) will this mean that many mortgage approvals will not translate into actual sales ?

Share this post


Link to post
Share on other sites
With the restricted supply (lack of forced sellers in temporary imbalance ) will this mean that many mortgage approvals will not translate into actual sales ?

July article British Bankers :

At present about eight or nine major lenders are supplying most mortgages in the UK.

Most experts believe that banks are using the relatively low level of competition in the mortgage market to rebuild their profits, BBC business reporter Brian Milligan said.

But the Council for Mortgage Lenders insisted the risk of customers defaulting on mortgages was much higher now than before the recession.

And it was "also worth noting that the only people lending are banks", Ms Knight added.

"Building societies can't do it due to their business model and they can't get access to funds as easily."

It was also clear that many borrowers were becoming "stuck in chains" when trying to buy somewhere to live, she said, meaning banks were "granting more mortgages than are being taken up".

Share this post


Link to post
Share on other sites
With the restricted supply (lack of forced sellers in temporary imbalance ) will this mean that many mortgage approvals will not translate into actual sales ?

Is this supply imbalance really true?? Looks like another piece of VI spin.

Share this post


Link to post
Share on other sites

I dont believe it.

I monitor NN1 + 10 miles on rightmove and there have been a surge in properties being listed.

We're back to the same sort of numbers from 18 months ago.

And you may have seen one of my posts a couple of weeks back, number of rental properties dropped 8% in one month...I'm guessing they are all up for sale now.

Edited by TheCountOfNowhere

Share this post


Link to post
Share on other sites
Is this supply imbalance really true?? Looks like another piece of VI spin.

Supply at affordable and realistic values is in short supply . Supply at a value that a lender would be prepared to lend on is in short supply. Supply may be down but there are, I am informed, a LOT of properties on Rightmove just nobody can now afford to buy them without 125% LTV's and 8 x's income!!

Share this post


Link to post
Share on other sites
I dont believe it.

I monitor NN1 + 10 miles on rightmove and there have been a surge in properties being listed.

We're back to the same sort of numbers from 18 months ago.

And you may have seen one of my posts a couple of weeks back, number of rental properties dropped 8% in one month...I'm guessing they are all up for sale now.

That sounds ok; as people see prices stabilising more supply comes back to the market.

Implications for the price indexes.

Could the general election next year affect supply ? (uncertainty)

Share this post


Link to post
Share on other sites

Create an account or sign in to comment

You need to be a member in order to leave a comment

Create an account

Sign up for a new account in our community. It's easy!

Register a new account

Sign in

Already have an account? Sign in here.

Sign In Now
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • The Prime Minister stated that there were three Brexit options available to the UK:   295 members have voted

    1. 1. Which of the Prime Minister's options would you choose?


      • Leave with the negotiated deal
      • Remain
      • Leave with no deal

    Please sign in or register to vote in this poll. View topic


×

Important Information

We have placed cookies on your device to help make this website better. You can adjust your cookie settings, otherwise we'll assume you're okay to continue.