Latest News Stream - Home Loans

Net borrowing of mortgage debt by UK individuals decreased to £3.9 billion in September, from £4.2 billion in August, below the previous 6-month average of £4.9 billion and market expectations of £4.2 billion. The annual growth rate for net mortgage lending decreased to 3.4% in September, from 3.6% in August. Secured gross lending increased slightly to £24.2 billion in September, up from £23.7 billion in August, still below the 6-month average of £26.3 billion. Repayments increased slightly in September to £21.4 billion, from £20.2 billion, slightly above the 6-month average of £21.3 billion. Meanwhile, the ‘effective’ interest rate on newly drawn mortgages increased to 4.63% in September, from 4.60% in August, while the rate on the outstanding stock of mortgages was 4.03% in September, up from 4.00% in August.

Net mortgage borrowing by UK individuals increased to £4.4 billion in August 2026, up from a revised £4.1 billion in July but below the six-month average of £5.2 billion. The annual growth rate of net mortgage lending was unchanged at 3.6%. Gross secured lending fell to £23.6 billion, from £25.3 billion in July and below the six-month average of £26.5 billion, while repayments eased to £20.4 billion from £21.1 billion. Meanwhile, the effective interest rate on newly drawn mortgages rose to 4.60%, from 4.45%, while the rate on the outstanding mortgage stock edged up to 4.00% from 3.97%.

Net mortgage borrowing by UK individuals fell to £4.3 billion in July, down from £7.7 billion in June and below the previous six-month average of £5.3 billion. The annual growth rate of net mortgage lending was unchanged at 3.6%. Gross secured lending also eased to £25.9 billion from £26.9 billion, slightly below its six-month average of £26.4 billion. Repayments edged up to £21.3 billion from £21.2 billion, remaining above the six-month average of £20.8 billion. The effective interest rate on newly drawn mortgages rose to 4.45% in July from 4.35% in June, while the rate on the outstanding mortgage stock increased slightly to 3.97% from 3.96%.

Net mortgage borrowing by UK households surged to £7.7 billion in June 2026 from £3.3 billion in May, far exceeding market expectations of £3.95 billion and the previous six-month average of £4.9 billion, despite rising borrowing costs. The annual growth rate of net mortgage lending also edged up to 3.6% from 3.5%. Gross mortgage lending rose slightly to £27.4 billion from £27.2 billion, remaining above the six-month average of £26.0 billion. Meanwhile, repayments fell to £21.3 billion from £22.7 billion, although they continued to exceed the recent six-month average of £20.4 billion. Meanwhile, the effective interest rate on newly drawn mortgages climbed to 4.35% in June from 4.22% in May, its highest level in more than a year. The average rate on the outstanding stock of mortgages also increased, reaching a record high of 3.96%.

Net mortgage borrowing by UK individuals fell to £2.9 billion in May 2026, down from £4.4 billion in April and below market expectations of £4.6 billion. This marked the lowest level since May 2025 and was well under the six-month average of £5.1 billion, as rising mortgage rates and weakened consumer confidence amplified by the Iran war have suppressed buyer demand. The annual growth rate for net mortgage lending edged up slightly to 3.4% in May, from 3.3% in April. Gross secured lending dipped to £27.1 billion, from £27.4 billion in April, but remained above the six-month average of £25.3 billion. Meanwhile, repayments rose to £22.9 billion in May, up from £22.6 billion in April and above the six-month average of £19.9 billion. The effective interest rate on newly drawn mortgages rose to 4.22% in May, up from 4.08% in April, while the rate on outstanding mortgages remained steady at 3.92%.

Net borrowing of mortgage debt by UK individuals decreased to £4.4 billion in April 2026, the lowest in six months, from £6.8 billion in March and below the previous 6-month average of £5.1 billion. The annual growth rate for net mortgage lending increased slightly to 3.3% in April, from 3.0% in March. Secured gross lending decreased slightly to £27.5 billion in April, from £28.7 billion in March, still slightly above the 6-month average of £24.8 billion. Repayments increased in April to £22.7 billion, from £19.8 billion in March, above the 6-month average of £19.7 billion. The ‘effective’ interest rate on newly drawn mortgages increased, to 4.08% in April, from 4.03% in March. The rate on the outstanding stock of mortgages was 3.92% in April, down from 3.93% in March.

The value of new owner-occupier loan commitments for dwellings in Australia declined by 4.3% quarter-on-quarter to AUD 61.4 billion in Q1 2026, reversing a downwardly revised 9.4% growth in the previous quarter. First-home buyer demand slipped 6.7%, after surging 15.2% in Q4, which had marked the sharpest rise in two years. Demand from non–first-home buyers also dipped 5.0%, following a 6.5% increase previously. On an annual basis, owner-occupier lending jumped 14.3%. Meanwhile, investment lending for housing fell 3.0% to AUD 41.5 billion, swinging from a 8.2% decrease in Q4. Year-on-year, investment loan values jumped 25.3%.

Net mortgage borrowing by UK individuals rose to £6.15 billion in March 2026, up from a revised £5.22 billion in February and exceeding market expectations of £4.2 billion. This marked the highest level in a year, surpassing the six-month average of £4.9 billion, as borrowing costs continued to decline. The annual growth rate for net mortgage lending eased to 3.0% in March from 3.4% in February. Secured gross lending increased to £28.7 billion, up from £24.0 billion in February and above the six-month average of £23.9 billion. Repayments also rose to £19.7 billion in March from £18.6 billion in February, slightly below the six-month average of £19.8 billion. The effective interest rate on newly drawn mortgages fell to 4.03% in March from 4.10% in February, while the rate on the outstanding stock of mortgages edged down to 3.93% from 3.95%.

Net borrowing of mortgage debt by UK individuals increased to a five-month high of £4.84 billion in February 2026 from £4.2 billion in January, above the previous 6-month average of £4.5 billion and higher than market expectations of £4.1 billion. The annual growth rate for net mortgage lending increased slightly to 3.4% in February, from 3.3% in January. Secured gross lending increased slightly to £23.9 billion in February, up from £23.6 billion in January, slightly above the 6-month average of £23.7 billion. Repayments decreased in February, to £18.4 billion from £18.8 billion, below the 6-month average of £19.9 billion. The ‘effective’ interest rate on newly drawn mortgages slightly increased, to 4.10% in February, from 4.09% in January. The rate on the outstanding stock of mortgages was 3.95% in February, up from 3.90% in January.

Net mortgage borrowing by UK individuals eased to £4.08 billion in January 2026, down from a revised £4.49 billion and below the previous six-month average of £4.5 billion. The annual growth rate for net mortgage lending eased to 3.3% in January from 3.4% in December. Secured gross lending increased slightly to £23.4 billion in January, up from £23.0 billion in December, still slightly below the six-month average of £23.8 billion. Repayments increased in January to £19.1 billion, from £18.8 billion, below the six-month average of £20.0 billion. The effective interest rate on newly drawn mortgages edged down to 4.09% from 4.15%, while the rate on the outstanding stock of mortgages slipped slightly to 3.90% from 3.92%.

The value of new owner-occupier loan commitments for dwellings in Australia jumped 10.6% quarter-on-quarter to a record high of AUD 65.3 billion in Q4 2025, accelerating from an upwardly revised 6.2% gain in the previous quarter. First-home buyer demand jumped 15.5%, marking the sharpest rise in two years after subdued performance in Q3. At the same time, demand from non–first-home buyers continued to grow (6.5% vs 6.5%). On an annual basis, owner-occupier lending jumped 9.8%. Meanwhile, investment lending for housing grew 7.9% to AUD 43.0 billion, slowing sharply from a downwardly revised 9.2% increase in the prior period. Year-on-year, investment loan values surged 31.8%.

Net mortgage borrowing by UK individuals remained unchanged at £4.6 billion in December 2025, slightly above market expectations of £4.5 billion. Gross lending fell by £0.5 billion to £23.0 billion, while gross repayments also declined by £0.6 billion to £18.8 billion. The annual growth rate for net mortgage lending held steady at 3.4%. The effective interest rate on newly drawn mortgages edged down to 4.15% in December, from 4.20% in November. Meanwhile, the rate on the outstanding stock of mortgages rose slightly to 3.92%, up from 3.90% the previous month.

Net borrowing of mortgage debt by UK individuals increased to £4.5 billion in November 2025, following a decrease of £1.0 billion to £4.2 billion in October, in line with market expectations. In November, gross lending decreased by £0.6 billion to £23.7 billion, while gross repayments decreased by £3.1 billion to £19.4 billion. The annual growth rate for net mortgage lending increased to 3.3% in November, from 3.2% in the previous month, the highest since January 2023 (3.4%).

Net borrowing of mortgage debt by UK individuals fell to £4.3 billion in October 2025, down from £5.2 billion in September and below market expectations of £4.5 billion. Gross lending edged slightly lower to £24.5 billion from £24.8 billion, while gross repayments rose by £1.5 billion to £22.1 billion. The annual growth rate for net mortgage lending held steady at 3.2% in October, the highest since January 2023. The ‘effective’ interest rate on newly drawn mortgages fell to 4.17% from 4.19% in September, marking its lowest level since January 2023 (3.88%) and continuing the downward trend observed since March 2025. The rate on the outstanding stock of mortgages remained unchanged for a third consecutive month at 3.89%.

The value of new owner-occupier loan commitments for dwellings in Australia rose 4.7% quarter-on-quarter to a 3-1/2-year high of AUD 58.2 billion in Q3 2025, accelerating from a downwardly revised 2.2% gain in the previous quarter. Growth was driven by stronger demand among non–first-home buyers (6.2% vs 4.7% in Q2), while lending to first-home buyers slowed sharply (up 1.1% vs 5.5%). On an annual basis, owner-occupier lending jumped 9.8%. Meanwhile, investment lending for housing soared 17.6% to AUD 39.8 billion in Q3, sharply picking up from an upwardly revised 2.6% increase in the prior period. Year-on-year, investment loan values surged 18.7%.

Net borrowing of mortgage debt by individuals in the UK rose by £1.2 billion to £5.5 billion in September 2025, the highest since March 2025 (£13.2 billion). The annual growth rate for net mortgage lending increased to 3.2% in September from 3.0% in August, the highest since January 2023 (3.4%). Gross lending amounted to £24.9 billion in September, up from £23.0 billion in the previous month. Gross repayments rose slightly in September, to £20.3 billion from £20.0 billion.

Net borrowing of mortgage debt by individuals in the UK decreased by £0.2 billion to £4.3 billion in August 2025, the lowest in three months and below market expectations of £4.8 billion. The annual growth rate for net mortgage lending slightly rose, from 2.9% to 3.0% in August. Gross lending decreased to £22.7 billion in August, from £24.5 billion in July. Gross repayments increased in August, to £20.0 billion, from £19.8 billion in July.

Net mortgage borrowing by individuals fell £0.9 billion to £4.5 billion in July 2025, down from £5.4 billion in June and above market expectations of £3.4 billion. The annual growth rate of net mortgage lending inched up to 2.9% from 2.8% in June. Gross mortgage lending rose to £24.3 billion in July from £24.0 billion in June, while gross repayments increased to £19.7 billion from £19.2 billion. The ‘effective’ interest rate on newly drawn mortgages declined for a fifth consecutive month, falling to 4.28% from 4.34%, while the rate on the outstanding stock of mortgages remained unchanged at 3.88%.