The Council of Mortgage Lenders revealed an estimated £13.4bn, a thirty per cent increase on February and seventeen per cent increased from March last year.CML explained that the said increase showed almost entirely, and the reason behind is the increased in purchasing power of house activity including loans, which is a view adjured by LSL Acadametrics, reported a 32% rise in transactions. With these facts, this was considered the highest monthly total since September 2011 where the figure stood at £13.6bn and the highest monthly total for March since 2008, which stood at £23.9bn.
Perspective of an Economist
CML chief economist, Bob Panell commented: “The most likely explanation for the increase is that the buyers wanted to complete their transactions before the end of the Stamp Duty concession on March 24. The underlying picture for house purchase activity has been relatively buoyant in recent months. However, we would be surprised if we did not see a drop in transactions over the next few months, following the end of the Stamp Duty concession, especially as it will take some while for NewBuy transaction levels to build.”
Renewed Interest in Remortgage Activity
With anecdotal reports of more applications coming through, the standard variable rate (SVR) rises announced by some lenders over the past few weeks appear to have boosted renewed interest in remortgage (also known as refinancing) activity which is returning back with an ease since last summer, with the adjusted image in February at just under 28,000, the weakest since June 2010.As the Council of Mortgage Lenders described, this “the modest pick-up seems likely “towards the coming months. With the process of paying off the one mortgagewith the proceeds from a new mortgage using the same property as a security, it really emphasized the modest pick-up.
Perspective of an Economist
CML chief economist, Bob Panell commented: “The most likely explanation for the increase is that the buyers wanted to complete their transactions before the end of the Stamp Duty concession on March 24. The underlying picture for house purchase activity has been relatively buoyant in recent months. However, we would be surprised if we did not see a drop in transactions over the next few months, following the end of the Stamp Duty concession, especially as it will take some while for NewBuy transaction levels to build.”
Renewed Interest in Remortgage Activity
With anecdotal reports of more applications coming through, the standard variable rate (SVR) rises announced by some lenders over the past few weeks appear to have boosted renewed interest in remortgage (also known as refinancing) activity which is returning back with an ease since last summer, with the adjusted image in February at just under 28,000, the weakest since June 2010.As the Council of Mortgage Lenders described, this “the modest pick-up seems likely “towards the coming months. With the process of paying off the one mortgagewith the proceeds from a new mortgage using the same property as a security, it really emphasized the modest pick-up.
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