Mortgage repayments more than borrowing
Mon, 07 Sep 2009
New figures released by the bank of England show mortgage holders are paying off their debts faster than new mortgage borrowing for the first time since 1993.
Repayments outstripped new borrowing by some £418 million over the course of July, the first time repayments have outstripped new borrowing since 1993. It is further indication mortgage borrowers are looking to pay back as much capital as possible before a reversion in rates.
The British Bankers Association’s David Dooks is reported to have commented: "The numbers of mortgages approved for house purchase each month by the high street banks have continued to recover from last November's low point, but new lending is largely being offset by repayments ."