Mortgage approvals hit a new low

Graham_Devon

The number of mortgages approved for house purchases hit a new low in April, Bank of England figures show.

At just 45,166, the number of new approvals was the lowest April figure since the Bank's records began in 1992.

Analysts said the data may have been affected by the number of public holidays in April.

However, the figures suggest that the UK property market will remain subdued in the coming months, with a low level of sales and falling prices.

The number of approvals was 4% lower than in March and 9% down on April last year.

More on how it's actually seasonal issues to blame here: http://www.bbc.co.uk/news/business-13613303

abaxas

Hang on a second.

I thought April was peak buying season?

wotsthat

abaxas wrote: »

Hang on a second.

I thought April was peak buying season?

Not when there's Pippa Middleton's backside to look at on the telly.

Orpheo

abaxas wrote: »

Hang on a second.

I thought April was peak buying season?

Nah, it was sunny and there were bank holidays 'n' that. On bank holidays people only ever rent.

It's a sunny day today, EAs must be bricking it.

doire_2

Those poor EA will be calling for a ban on all bank holidays next.

Did the bank holidays affect approvals during the boom years?

Orpheo

I like the last paragraph of the article which I have quoted below:

During May approvals grew from bu99er all to bu99er all and a bit.

Thrugelmir

doire wrote: »

Did the bank holidays affect approvals during the boom years?

Easter weekend is more likely to fall in April than March.

So blaming one extra public holiday for what is a 20 year low. Seems extreme.

We are finally entering the real recessionary period where the pain is felt by everyone.

Orpheo

Meanwhile halifax get a nice free marketing slot on BBC breakfast to advertise their first time buyer pledge.

Really2

Thrugelmir wrote: »

So blaming one extra public holiday for what is a 20 year low. Seems extreme.

Maybe so but it turned 19 working days to 18 working days.

All things being equal that is around 5% of productivity lost that month due to one extra day.
It is still poor but losing one working day would have a slight effect.

Graham_Devon

Some spring bounce this has turned out to be.

Whether you look at the spring bounce in terms of transactions (really2) or values (Hamish & pretty much everyone else). It's a damp squib either way.

I blame the tide times.

Really2

Graham_Devon wrote: »

Some spring bounce this has turned out to be.

Whether you look at the spring bounce in terms of transactions (really2) or values (Hamish & pretty much everyone else). It's a damp squib either way.

Since when have mortgage approvals been transactions? I have said that the spring bounce is reffered to as when transactions increase (from winter) they usually drop late Autum and the winter.

The figures are poor but are kind of reflecting the stagnation we are seeing across the market. Also you can't argue against the fact of over 5% of productivity being lost due to an extra days holiday.

If they go up next month how many on here will say it was because of the ones they never processed on what would have been the last working day of April?