The sun’s failure to shine on the housing market so far this summer has been confirmed by grim figures from the Bank of England.
It said that mortgage approvals fell to an 18-month low in June, and were below expectation.
Lenders granted 44,192 loans to buy homes, compared with a revised 50,544 in May.
The lowest figure since December 2010, it wrong-footed economists who had predicted that approvals in June would be 48,000.
The Bank of England’s figures tie in with the British Bankers Association, which said that the number of new mortgages approved by the high street banks fell in June, and were also below expectations.
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Comments
@IO
What twisted logic. Surely they'd just stump up their 25% and buy the house?
25% of an affordable amount is by definition......erm affordable.
Any HPCer who hasn't been preparing for such a scenario isn't worthy of the title.
What is even sadder Timothy is that when those prices come down to affordable levels it will not be possible to borrow any more than about 75% maximum at best to buy them because all confidence will have gone out of the market - and that lending stream for banks.
HPCers will have got what they wished for but be unable to buy what they want. Sad isn't it?
It seems people cannot or do not want to pay over-valued silly prices for houses any more. Strange isn't it in this economic climate.