The latest statistics released by the Bank of England have shown that the UK mortgage market remained largely stable during September with the annual growth rate of mortgage lending frozen at 3.2%.
The bank also reported that house purchase approval numbers stuck at 65,000 and remortgaging approvals remain close to their recent peak, falling back slightly on the month to 49,000. Remortgage approvals had risen to 53,125 in August - the highest seen since November 2017.
Households borrowed an extra £3.9 billion secured against their homes in September, following slightly weaker flows in July and August of £3.3 billion and £3.1 billion, respectively.
Suchit Sethi, CashbackRemortgages.co.uk founder, said: "The recent drop in house prices over Brexit uncertainty is seeing more people remortgaging rather than taking a risk and selling. Despite a slight dip, remortgages are continuing to peak. This can only be good news for borrowers as a wealth of lower deals are likely to flood the market as a result."
Ross Boyd, founder of mortgage platform Dashly, comments: “Against such an uncertain political and economic backdrop, it’s no surprise that mortgage lending volumes, like house prices, are rising only modestly. It’s unlikely we’ll see a material uplift in mortgage volumes during the rest of 2018 and early 2019.
While they dipped slightly in September, remortgages have been the defining trend of 2018 to date. Faced with stubbornly high inflation, interest rate uncertainty and the sheer unknown that is Brexit, many households have taken pre-emptive action."
Kevin Roberts, Director, Legal and General Mortgage Club, added: “Despite the ongoing uncertainty of the Brexit negotiations, the mortgage market continues to perform strongly with more choice for customers as a growing number of products become available."