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Mortgage Lending Second Highest Amount On Record

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What are people making of this story?

http://www.sky.com/skynews/article/0,,30400-1206666,00.html

mortgage lending has always been a good leading indicator of the market so this is not good news for bears. These amounts will have been agreed before the SIPPs bubble burst so its possible that the next few months will show amounts dropping again. But then again its begining to look like a surge in prices is going to be upon us after christmas. :(

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What are people making of this story?

http://www.sky.com/skynews/article/0,,30400-1206666,00.html

mortgage lending has always been a good leading indicator of the market so this is not good news for bears. These amounts will have been agreed before the SIPPs bubble burst so its possible that the next few months will show amounts dropping again. But then again its begining to look like a surge in prices is going to be upon us after christmas. :(

Mortgage approvals are not the same as mortgage lending - this could merely be excessive mewing to pay for christmas or remortgaging as fixed rate loans run out.

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Mortgage approvals are not the same as mortgage lending - this could merely be excessive mewing to pay for christmas or remortgaging as fixed rate loans run out.

Remortgaging

Normally, demand for mortgages tails off towards the end of the year and then revives in the spring as people start house hunting again.

However, the CML pointed out that the figures were being bolstered by high levels of remortgaging.

This happens when people stay put but simply move their mortgages to another lender to take advantage of a more favourable deal.

This currently accounts for about half of all new house lending

bbc.co.uk

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just in case you missed it...

This happens when people stay put but simply move their mortgages to another lender to take advantage of a more favourable deal.

more likely remortgaging to pay off credit cards & loans, turning the unsecured debt into secured :blink:

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more likely remortgaging to pay off credit cards & loans, turning the unsecured debt into secured :blink:

Hi,

Around 85% of the loaning infact on remortgaging. As the 1.2 trillion pounds of personal debt in the UK is not going down, we can safely assume that this is in the most part for consolidating debt, paying for christmas and switching lenders. The high street is struggling, business is in the doldrums , unemployment rising, record bankruptcies, rising repocessions. Pessimism apart, the fact is that we are still depending on a debt funded economy even at this late stage of the game. This headline is not a health signal, it is a cry for help. I also agree with one of the earlier posts about the independent's commentary today as well regarding Jeremy Paxman on newsnight lastnight, thought it was great as he was reading off the following day's front covers, looked heavy browed, with a strong glint of irony in his eye, in the direction of the camera and said "The independent tells us house prices are rising....... and that is supposedly good news". I love his deadpan expressions!

Boomer

PS., different thread I know but have you ever noticed how the independent is always championing single parent lesbian dolphins, the environment, nuclear waste, global warming, weapons of mass destruction, blah, blah, blah, BUT they think that it is fine in their own country to operate a system of hyperinflationary house pricing and shakle young families and FTB's with debt ridden misery into one of the worst quality housing stocks in about the most ****ed up real estate "market" in western europe. Maybe those bunch of tree-hugging two-faced hypocrites want to tackle first more fundamental problems at home before they start trying to save the rest of the planet and meddle with other countries affairs! Just a thought. ;)

Edited by boom_and_bust

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  • 301 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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