Growing market confidence as residential mortgage approvals increase


Despite UK Finance data for December 2019 revealing that annually gross mortgage lending is down 1.1% on 2018, here’s why industry experts are unconcerned…

Gross mortgage lending across the residential market in 2019 may be slightly down on the previous year with an annual total of £265.8 billion, but the last last two years have broadly reflected the continuation of a stronger long-term lending trend, according to UK Finance.

In fact, a total of 982,286 mortgages were approved by high street lenders in 2019 – an increase of 7.4% on the previous year. Remortgage approvals were also up 7.9%, purchase approvals increased by 8% and approvals for other secured borrowing rose 3% too.

John Goodall, CEO and co-founder of buy-to-let specialist Landbay, said: “Even without any clarification on Britain’s trading relationship with the EU, mortgage lending in the UK looks encouraging for the coming months.

“These strong approval figures reflect improving consumer confidence fuelling a further rise in mortgage lending as demand, previously contained by would-be buyers, is released.”

Highest number of mortgage approvals in four years

While the value of lending has dipped, last year December saw banks approve the highest number of mortgages in more than four years; 46,815 in total – the most since August 2015. And the value of mortgage lending rose by the most since March 2016 (pre-Brexit referendum); up by £3.7 billion.

Miles Robinson, head of mortgages at online mortgage broker Trussle, said: “It’s encouraging to see this uptick in mortgage approvals, particularly considering the scale of last year’s economic and political uncertainty and the ongoing under-supply of available, affordable properties.

He added: “Following last month’s election, people may begin to start having more confidence in the mortgage market. This, coupled with the strong foundation of mortgage lending in 2019, could provide a very solid base for the housing market over the next year.”

Highgrove Mews

High Net Yield Freehold Houses

  • Commutable to London (27 mins to central Paddington station)
  • Rental demand extremely strong with large industry presence in Reading
  • Freehold with 4% net yield

£284,955 - £457,000

St Petersgate – Stockport Manchester

New Launch - Stockport Manchester, apartments from £160,000

  • Discounted launch prices from £160,000
  • Excellent transport links with 3 trains per hour to London Euston and only 9 mins journey to Manchester Piccadilly
  • Experienced development team

Assured Rent Housing Association Leases

Assured Rent Housing Association Leases

  • Assured rent & no rental voids
  • Tenant damage cover & newly refurbished inline with requirements of a corporate sitting tenant
  • Free property and lettings management

From £62,000

Emerging Birmingham Commuter Town With Properties From Just £104,000

The emerging Birmingham commuter town where properties are selling in an average of just 24 days

  • A collection of 62 two bedroom apartments and 28 one bedroom apartments.
  • DE14 is one of the fastest selling postcodes in the West Midlands.
  • 23 minute train journey into Birmingham New Street Station.

Properties from £104,000

Mill, Stockport

The Northwest's emerging property hotspot

  • Discounted off-plan 2-bed prices from £162,000
  • Completion date - Q4 2021
  • Rental yields - 6% plus

Discounted off-plan 2-bed prices from £162,000

South Central – Birmingham City Centre Apartments

Highly anticipated 28 storey launch in Birmingham City Centre with an impressive roof garden and communal facilities.

  • 154 units across 28 storeys
  • Residential multi-media community room, gym, roof garden and sky cinema
  • Excellent future connectivity via the metro system to other key transport hubs and locations around the city

from £205,800


Talk to us

Speak to our UK property experts today: 

+44 (0) 333 123 0320

Open from 9am-6pm GMT

+852 9865 4446

Open from 9am-6pm HKT

Stamp Duty Calculator


Unlock members only investment opportunities and full development details. Join now – it’s free, quick and easy.


Not a member? Sign up for free


Growing market confidence as residential mortgage approvals increase


By submitting your details via this online form you agree to be contacted via email/phone/SMS by Direct Marketplace Ltd t/a BuyAssociation in relation to property investment and property developments . We do not share your personal details with third parties.  To view our full Privacy Policy click here.