Insurance News Archive
Property insurance: Mortgage lending hits 17-month high
Written by Jonathan Walker
The number of mortgages approved for house purchase rose to a 17-month high in July, with 38,181 loans granted to property insurance holders, according to the latest figures.
A report by the British Bankers' Association (BBA) found that gross mortgage lending rose to £8.4 billion from £8.1 billion in June, but was down by 39.2 per cent compared to a year ago.
The number of loans granted to property insurance holders rose by 77 per cent in July, compared to the previous month, hitting the highest level since February 2008.
According to the BAA, the rise in approvals reflected an improvement in demand from borrowers combined with increased availability of loans.
Banks granted more loans for remortgaging in July, but these levels were still down by 42.3 per cent compared to the year before.
Recent figures from the Department of Communities and Local Government showed that the number of house building projects started in the second quarter of 2009 were down by 63 per cent year-on-year.
25 Aug 2009
