UK Finance has reported that there were 11,510 new first-time buyer mortgages completed in London in the third quarter of 2019, 1.3% more than in the same quarter in 2018.
Additionally, there were 7,850 new homemover mortgages completed in London in the third quarter of 2019, 0.9% more than in the same quarter in 2018.
There were 12,530 new homeowner remortgages completed in London in the third quarter of 2019, 14.8% fewer than in the same quarter in 2018. This follows a period of strong annual growth in remortgaging in the capital during 2018.
Adrian Moloney, sales director of OneSavings Bank, said: “An increase in transactions in the third quarter of 2019 is an encouraging sign for buyers and sellers who in recent years have been reluctant to make major decisions.
“The rise in first-time buyers in London is a clear sign that serious buyers who are looking to get their foot in the door are making the most of record low mortgage rates and increased wages, allowing them to capitalise on opportunities within the market. However, for the trend to continue, a lot will depend on how the political dust settles in the next couple of months.
“The backdrop of the political environment in recent years has presented the housing sector with a massive headache with regard to planning ahead. To give a sense of the lack of direction, the next election with deliver the seventh Minister of State for Housing since the 2016 referendum. While the outcomes of the events on the 12 December and 31 January will provide a modicum of stability, there will remain bigger issues that will continue to affect the sector long after.
“The next government must show their commitment from the outset to improving levels of housing stock, including a large number of affordable homes, to clear the current deficit. Only when more houses are built should the market see a real adjustment to average mortgage deposits and the age of first-time buyers also fall.”