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Mortgage Approvals Fall To 20 Month Low In November - 13.5% Lower Than Last Year.

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Number of mortgage approvals fell to a twenty month low in December.

Number of mortgages approved was 29,991.

Source, BBC News Breaking news, more on business news soon.

Is all mortgage business now closed for December?

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If we were to make a graph of mortgage approvals of say the last 20 years, figures for the naughties would clearly be above average. How much would we need to undershoot now to get back to that average? What I'm asking is if there is a point when the low approvals we see now have offset the excesses of couple of years back.

Anybody have any ideas?

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13.5% less than last yer

...and we had snow then too

Why was my post added to this one? It was a separate report, wasn't it?

edited to add: ok, same report - shame you missed off the pertinent bit of my post - the title that the 13% referred to:

Gross mortgage lending is down to 7.8 billion.

Edited by Lepista

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Why was my post added to this one? It was a separate report, wasn't it?

edited to add: ok, same report - shame you missed off the pertinent bit of my post - the title that the 13% referred to:

Gross mortgage lending is down to 7.8 billion.

"Approval numbers for equity withdrawal loans continued to be weak." Still £0.5bn lent, 17,000 loans, averaging £29k hopefully this is for extensions rather holidays or cars.

The banks seem to be increasingly happy lending for remortgage (i.e. more borrower equity) than FTB presumably as anyone remortgaging will be more profitable than at their exising rate for the bank, and has a repayment history and this time round probably hasn't liar loaned due to more checks which would make them much less likely to default in the bank's risk analysis. They will probably have had to accept more realistic valuations for their property too, helping to anchor more realistic valuatons that the mortgage companies use for purchases.

Not good news for any FTBs in the short term but it should put more pressure on prices at the lower end helping the medium term, and eventull bringing prices further up the market down too.

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  • 276 Brexit, House prices and Summer 2020

    1. 1. Including the effects Brexit, where do you think average UK house prices will be relative to now in June 2020?


      • down 5% +
      • down 2.5%
      • Even
      • up 2.5%
      • up 5%



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