The property industry has reacted to the latest mortgage approval data from the Bank of England.
The latest figures show that mortgage approvals for November 2023 sit “at 50,067, up from 47,888 in October.”
According to an update shared with CI, this marks “a YoY (November 2022 – 45,547) and MoM increase, while also being at the highest level since July 2023 (49,571).”
November (50,067) is just the fourth time in 2023 “that approvals have exceeded 50,000 (March – 51,895; May – 50,609; June – 54,016).”
The CEO of Octane Capital, Jonathan Samuels, commented:
“Extremely positive signs for a property market that has otherwise looked a tad weary in 2023, as the consistent increase in interest rates seen throughout much of the year caused many buyers to refrain from entering the market. However, it’s clear that since the Bank of England has decided to hold interest rates, a growing air of stability has returned, with mortgage approvals climbing for the second consecutive month and exceeding the 50,000 threshold for only the fourth time this year. While there is still some ground to be made up, this pre-Christmas uplift in market activity suggests that 2024 will be a far more positive year, particularly with the prospect of an interest rate reduction on the horizon.”
Founder and CEO of easyMoney, Jason Ferrando, commented:
“Although interest rates remain at their highest level since 2008, it appears as though the nation’s homebuyers are growing in confidence, with mortgage approvals reaching their highest levels since July of last year. While many have now adapted to the ‘new normal’ where current mortgage affordability is concerned, there’s no doubt that a freeze on interest rates has helped bring renewed confidence to the market. With a rate reduction expected in 2024, this will only help strengthen the market further, as buyers return in search of their ideal home, enticed by the prospect of lower mortgage rates further down the line.”