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

Final Mortgage Approvals November

Recommended Posts

According to the BBC (that completely non-biased source of house price information), most of the increase was due to remortgaging. Is that likely to be people coming to the end of one deal and scrambling to find an alternative?

Share this post


Link to post
Share on other sites

According to the BBC (that completely non-biased source of house price information), most of the increase was due to remortgaging. Is that likely to be people coming to the end of one deal and scrambling to find an alternative?

BBC now quoting fear of rising interest rates in 2011 as the reason more people are re-mortgaging (still below the rate one would expect as many are sticking with SVR...)

BoE link:

http://www.bankofengland.co.uk/statistics/li/2010/nov/lendind.pdf

New Loans:

Although November was up to 48,019 from 47,315 it is still below the last 6 month average.

Average loan amount in Nov £141,610, hardly changed from October £141,604

Re-mortgaging:

Nov 34,262 up 21% on the 6 month average

Avg Nov loan £128,422 down from £131,159 (6 month Avg)

MEWing etc continues its downward trend in both volume and value terms

Share this post


Link to post
Share on other sites

BBC now quoting fear of rising interest rates in 2011 as the reason more people are re-mortgaging (still below the rate one would expect as many are sticking with SVR...)

BoE link:

http://www.bankofengland.co.uk/statistics/li/2010/nov/lendind.pdf

New Loans:

Although November was up to 48,019 from 47,315 it is still below the last 6 month average.

Average loan amount in Nov £141,610, hardly changed from October £141,604

Re-mortgaging:

Nov 34,262 up 21% on the 6 month average

Avg Nov loan £128,422 down from £131,159 (6 month Avg)

MEWing etc continues its downward trend in both volume and value terms

Market looking weak as expected. No reason to think prices can go up, slow and steady falls look likely for the next few years.

Rates will rise back to 5%+ over the next 5 years. A damaging loss of confidence in the MPC's ability to control inflation is quite possible with CPI inflation set to hit 4% +. They need to be careful to avoid this or interest rates may need to be yanked up too fast causing further economic problems. Interesting few MPC meetings coming up.

Share this post


Link to post
Share on other sites

This is bearish stuff. The approvals for other purposes (non-remortgaging, ie FTB) continue to fall. And, as Bloo Loo will tell ya', approvals mean jack other than a theoretical maximum number of loans advanced. As long as this ceiling keeps dropping, prices will folow suit in time.

'while approvals for other purposes (22,770) fell from October (23,425) and were lower than the previous six-month average of 24,149 (Table B).'

http://www.bankofengland.co.uk/statistics/li/2010/nov/lendind.pdf

December's figures will be interesting.

Share this post


Link to post
Share on other sites

Join the conversation

You can post now and register later. If you have an account, sign in now to post with your account.

Guest
Reply to this topic...

×   Pasted as rich text.   Paste as plain text instead

  Only 75 emoji are allowed.

×   Your link has been automatically embedded.   Display as a link instead

×   Your previous content has been restored.   Clear editor

×   You cannot paste images directly. Upload or insert images from URL.

Loading...
Sign in to follow this  

  • Recently Browsing   0 members

    No registered users viewing this page.

  • 312 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%



×
×
  • Create New...

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.