Menu
Fri, 29 March 2024

Newsletter sign-up

Subscribe now
The House Live All
Communities
Mission possible: Delivering tomorrow’s homes today Partner content
Economy
Data: driving the UK’s growth and productivity Partner content
Economy
Economy
Economy
Press releases

Building societies continue to perform in highly competitive mortgage market

Building Societies Association | Building Societies Association

2 min read Partner content

The BSA has today released mortgage lending statistics for the final three months of last year and the whole of 2014.

Gross mortgage lending by building societies dropped slightly between Q3 and Q4 2014, down from £14.2 billion to £13.8 billion. Nearly 90,000 new loans were approved in the final three months of the year.  
 
Set in the context of total lending from all mortgage providers, which fell from £55.3 billion to £51.1 billion over the same period, the building society sector has continued to punch above its weight.  
 
During 2014, building societies provided 26% of all mortgage lending in the UK with gross lending of £52.6 billion during the year, out of a total of £204.4 billion lending by all mortgage lenders.  This performance was well above the sector’s more natural market share of 19%.  Over the year societies approved mortgage loans to over 373,000 homebuyers.
 
Commenting, Paul Broadhead, Head of Mortgage Policy at the BSA said:  

 “Many societies have benefitted from their individual approach to underwriting.  This is a particular benefit for consumers who don’t quite fit the borrower profile of the mass-market automated lenders and for people who need something a little different, like self-build or family guarantee style mortgages.
 
“Competition will be stiff in 2015, especially now that an increase in the bank base rate this year looks to be out, even to the point of the Bank of England stating that a drop in this rate, whilst unlikely, is a tool that will be used if necessary.  
 
“We saw mortgage demand come off the boil at the end of last year.  Now, uncertainty around the general election and matters further afield like the fate of Greece and the Euro zone may well have a dampening effect, although consumers should take heart from the fact that mortgage availability is good.”   

Read the most recent article written by Building Societies Association - Building Societies Association Comments on the MPC’s decision not to change the Bank Rate from 5.25%

Categories

Economy
Associated Organisation
Podcast
Engineering a Better World

The Engineering a Better World podcast series from The House magazine and the IET is back for series two! New host Jonn Elledge discusses with parliamentarians and industry experts how technology and engineering can provide policy solutions to our changing world.

NEW SERIES - Listen now