Mortgage Availability to Improve
The Bank of England's Credit Conditions Survey found that mortgage availability increased in Q3 and is expected to improve further in Q4.
Lenders reported that changing risk appetite had the biggest influence on the availability of secured credit to households in Q3, with a lender response score of 18.8%.
- Mortgage availability improved for all borrowers, with scores of 28.1% for lending at 75% loan to value (LTV) or less and 27% for high LTVs.
- Lenders expect this trend to continue in Q4, with readings of 26% and 25.5% respectively.
“Lenders remain keen to lend and have the funds available to do so. The past few months have seen them ease affordability criteria, increasing the borrowing potential of many mortgage applicants.” - Mark Harris, chief executive of SPF Private Clients
Author's summary: Mortgage availability expected to improve in Q4.