Mortgage approval rates halved in June compared to 2019

The CEO of the Banking and Payments Federation said such fluctuations are to be expected.

The number of mortgages being approved has dropped significantly this year.

Only half as many mortgages were approved last month as during June 2019 according to figures from the Banking and Payments Federation.

However, figures for the number of mortgages approved in May increased by 20% compared to May last year.

The value of the 2,263 mortgages approved in June was €536 million.

Between April and June there were 6,622 new mortgages drawn down by borrowers, a 24.1% fall on figures recorded during the first three months of 2020.

First time buyers made up just under half of the mortgages drawn down during this period.

CEO of the Banking and Payments Federation, Brian Hayes says the figures aren’t surprising given the economic climate.

"I think it's a consequences of the divisive nature of the housing market right now, given what we have gone through in the last four or five months. It's not unusual that there would be this kind of volatility in the figures."

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