A surge in mortgage approvals is a positive indicator of prospective buyers’ renewed confidence in their ability buy a home of their own.
This echoes our recent research of 4000 aspiring first-time buyers across the UK, which found that 21% intend to buy in the next 6-11 months.
The Chancellorโs decision not to extend the Stamp Duty relief for first-time buyers after March 2025 will likely mean a continuation of this positive trend in mortgage approvals.
In fact, in the four weeks since the Budget we have already seen early signs of this, with Moneybox observing a 14% increase in mortgage appointments compared to the equivalent period prior to the Budget which is unusual for this time of year. However, with swap rates remaining high and many lenders increasing their rates as a result, there are still challenges for first-time buyers in the near term.
Our research found as many as two-fifths of recently successful first-time buyers (40%) had found it challenging to secure a favourable mortgage rate when purchasing their first home,ย and 28% felt more needs to be done to help people find a suitable mortgage broker.
Buying a home is the biggest financial commitment most of us will make in life. As an industry, we must help people find the necessary information and support them in making financial decisions with greater confidence.
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