The number of mortgage approvals across the UK reached its highest level in more than a decade in September, highlighting the continued demand for new homes that emerged following the coronavirus pandemic.
There were 91,500 mortgages approved during the month, up from 85,500 in August. Not only was this the highest total recorded since September 2007, but it was also 24% higher than the number of approvals recorded in February, before the pandemic, according to data released by the Bank of England.
The extensive post-lockdown surge in activity has been driven by a combination of factors.
Homebuyers have been eager to secure properties that better suit changing lifestyles, including spending longer periods at home and having access to amenities such as home offices and private gardens.
These buyers have been joined by others taking advantage of low borrowing rates, as well as those rushing to benefit from the temporary stamp duty holiday, which was due to expire at the end of March 2021.
Property market activity across the UK reached such a scale that the growing backlog of pending home sales began placing strain on the wider system, according to a separate report from Zoopla.
The online property portal estimated that there were 418,000 sales worth more than £110 billion in the pipeline that had yet to complete, around 50% more than at the same time the previous year.
