Total mortgage lending rose in September

Total mortgage lending in September rose monthly and annually, with gross lending up by £700m over the month. September also saw the largest number of loans approved for existing homeowners in a single month since October 2008.

Brian Murphy, head of lending at Mortgage Advice Bureau, said the rush to remortgage is on: “Savvy homeowners who are watching the market closely are therefore likely to be making the most of the competitive pricing currently available before rates start to creep up.

“Today’s remortgagers will be in a strong position to access these deals, with many possessing improved housing equity as a result of healthy house price growth.”

Existing homeowners aren’t the only ones who can benefit from improved mortgage affordability. Brian Murphy said: “September saw a significant 96% of purchase customers opting for fixed rates (according to the MAB National Mortgage Index), suggesting new borrowers are also rushing to ensure they are not faced with higher monthly payments once interest rates eventually rise.”