UK Finance has revealed that there were 32,640 new first-time buyer mortgages completed in July 2019, 5.8% more than in the same month in 2018. There were 32,710 homemover mortgages completed in July 2019, 1.4% more than in the same month a year earlier.
In addition, there were 20,760 new remortgages with additional borrowing in July 2019, 7.1% fewer than in the same month in 2018. For these remortgages, the average additional amount borrowed in July was £55,500.
There were 20,380 new pound-for-pound remortgages (with no additional borrowing) in July 2019, 12.9% fewer than in July 2018. UK Finance said this has been driven in part by a fall in the number of fixed-rate mortgages coming to an end and the growing popularity of product transfers.
Meanwhile, there were 5,800 new buy-to-let home purchase mortgages completed in July 2019, 5.5% more than this time last year. There were 15,100 remortgages in the buy-to-let sector, 2% more than the same month in 2018.
Vikki Jefferies, proposition director at PRIMIS Mortgage Network, said: “A major factor behind the increase in mortgage lending is the remarkable job advisers are doing in securing optimal outcomes for clients. Professional planning is integral in helping borrowers with the financial milestones they’ll face throughout their lifetime, and it’s important we remember the crucial role advisers play in this.
“However, it’s vital for brokers to remember that financial planning spans much more than just mortgages, and there are other avenues which their business can take to help them retain clients – particularly within the current climate. For example, 60% of consumers said they’d struggle with a loss of income within six months. This signals a great opportunity for brokers to be including income protection as part of their conversations with clients and, ultimately, stand their business in good stead for the future.”