27% DROP in number of Mortgage approvals!!

hgllgh

scottishsuz wrote: »

Ok, thinking out in type....

If 27% of people are now getting knocked back could that then mean that for the very short term the markets will go a bit wobbly but in the longer term be more secure because less people who possibly shouldn't have gotten mortgages now most likely won't because lenders are being more sensible in the money they are lending, so those that do should in theory be able to afford them? phew, and breath...

Or have I missed the point completely??

Doesn't mean 27% of people are getting knocked back (that %age is probably higher) It new mortgage transactions are down by 27%.
The point as I see it is that this is a huge drop in mortgage transactions meaning prices as they are are simply not sustainable. Properties will not continue to sell at inflated prices and must come down

lypsey

It means that there are a lot less buyers around , and as with anything be it shares or trading in oil and gold , prices will be driven down