Gross mortgage borrowing reached £12.4 billion in December, 24% higher than December 2014, according to the British Bankers’ Association.
Mortgage approvals were also up in December, again, 24% higher than the previous year.
Brian Murphy, head of lending at Mortgage Advice Bureau, said: “As house prices climb and mortgage rates remain low, now is an excellent time to switch to a new mortgage deal.”
Brian said that those taking out a loan for a house purchase are in fact taking on increased levels of debt, however: “Mark Carney’s recent announcements have alluded there will be no interest rate rise in the near future, and this means the current low mortgage rates are likely to stick around for longer.
“Rock bottom rates help to make the property market more accessible, and Government schemes for affordable housing will also help lower income buyers.”
Mortgage Advice Bureau