The Financial Conduct Authority (FCA) has reported that the outstanding value of all residential mortgage loans was £1,541.4 billion at the end of final quarter of 2020, 2.9% higher than a year earlier.
The value of gross mortgage advances in the past three months of last year was £76.6 billion, 4.2% higher than in 2019 Q4.
Meanwhile, the value of new mortgage commitments (lending agreed to be advanced in the coming months) was 24.2% higher than a year earlier, at £87.7 billion, and the highest level since 2007 Q3.
Jonathan Stinton, head of intermediary relationships at the Coventry Building Society, said: “The highest volume of mortgage commitments since 2007 has been fuelled by the Stamp Duty holiday. It not only means that brokers will have a very healthy pipeline of business throughout the start of this year but also there is plenty of momentum in the market.
“The Stamp Duty holiday extension until the end of June should help to maintain high volumes but brokers need to be mindful of the time it takes for offers to complete. New buyers or movers need to have contingency plans in case they miss the June deadline and are faced with a tax bill.”