Mortgage approvals edged higher in July, according to the Bank of England with 47,312 loans approved, compared with 44,124 in June. The number of remortgages also rose as homeowners took advantage of some of the excellent rock-bottom five-year fixes now on offer.
Numbers are still down on the six-month average but at least they are moving in the right direction. This should be helped by money market rates falling to all-time lows, which is resulting in some extremely cheap mortgage rates.
Lenders certainly seem to be demonstrating renewed vigour. Accord launched a ten-day mortgage sale on Tuesday, with rates available from 2.99 per cent for a two-year fix and 3.29 per cent for a five-year fix – both available to those with a 30 per cent deposit. Skipton building society has also cut rates and while Nationwide has raised its fixed-rate mortgages, this is more down to wanting to maintain service levels than anything else.
Borrowers should not assume that the mortgage market is dire. There are some excellent deals out there, both from high-street lenders and the private banks. Seek specialist advice to find out what is available to you.