Mortgages  

BoE: Lending to first-time buyers highest since 2008

Lending to first-time buyers is at its highest point since 2008, the Bank of England has found.

According to figures published by the BoE and the Financial Conduct Authority, interest rates on new lending, the number of new arrears cases and stocks of possessions cases remaining unsold are at their lowest level since records began in 2007.

As well, gross advances of £49.5bn in the third quarter of 2013 were 19 per cent higher than in the second quarter, representing an upward movement usual in the third quarter of the year, but also 25 per cent higher compared with the same quarter in 2012.

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This was the highest amount advanced in a quarter since Q3 2008.

In other signs of a continued recovery in the mortgage market, there was a 40 per cent increase in the value of new commitments to £50.5bn year-on-year, again representing the largest quarterly amount of new commitments since Q2 2008.