Lending to first-time buyers hits highest level since 2011, new figures show

ireland
Lending To First-Time Buyers Hits Highest Level Since 2011, New Figures Show Lending To First-Time Buyers Hits Highest Level Since 2011, New Figures Show
Mortgages approved in January 2022 were valued at a total of €932 million. Photo: PA Images
Share this article

Mortgage lending to first-time buyers in January hit an 11-year-high, according to new figures from the Banking & Payments Federation Ireland (BPFI).

A total of 3,621 mortgages were approved last month, of which 1,868 mortgages (51.6 per cent) were for first-time buyers (FTBs) and 802 (22.1 per cent) were for mover purchasers.

Mortgages approved in January 2022 were valued at €932 million, of which first-time buyers accounted for 51.3 per cent, while mover purchasers accounted for 26.1 per cent.

In total, the number of mortgages approved rose by 7.9 per cent compared with the same period last year, with the value of mortgage approvals having also experienced a 13.2 per cent increase.

However, month-on-month mortgage approvals fell by 6.1 per cent with a 7.8 per cent drop in mortgage value.

Meanwhile, remortgaging or switching activity experienced a jump with a 37.3 per cent rise in activity when compared to January 2021.

The figures also recorded the highest January volume or value for switching since the data series began in 2011, with an increase of 48.1 per cent.

“Our latest mortgage approvals data shows mortgage approval activity performed well in January.

“We saw continued year-on-year growth in both approval volumes and value especially amongst first-time buyers with volumes up by 9.3 per cent year-on-year and values up 17 per cent.

“In fact, our data shows this was the highest January volume or value for FTBs since the data series began in 2011.

“This points to a solid pipeline for drawdown activity as we look to the year ahead.

“The report also shows an increasing trend in the volume of switching, a trend that has been continuing for some time which is perhaps a reflection of competition in the market where customers are availing of different options available to them.”

Read More

Want us to email you top stories each lunch time?

Download our Apps
© BreakingNews.ie 2022, developed by Square1 and powered by PublisherPlus.com