The value of mortgages that were approved last month rose to the highest amount in more than a year, the British
Banking Association (BBA) revealed.
Mortgage lenders approved mortgages to the value of £17.8 billion last month, which is the highest figure since June 2004.
When repayments and
redemptions are removed, seasonally adjusted net
mortgage lending also rose from £4.4 billion in August to £4.9 billion.
Mortgage lenders approved
mortgage deals for 193,031 individuals last month. This is two per cent more than the previous month and in September last year.
This upturn could be reflective of a delay of the demand that usually occurs in late summer, says David Dooks, the BBA's director of statistics.
He adds that the number of customers looking to
find a remortgage may also have had an effect. "Two-year
fixed rate loans taken during the buoyant period of 2003 are maturing around now and
borrowers are seeking out new options," Mr Dooks explains.
Consumer
borrowing was described as "subdued". Net lending on
credit cards has only risen by £0.1 billion, which is "modest" when compared with earlier figures.
