Ian Larkin, Co-Group CEO at Target Group said:
“These are the second set of monthly figures from the CML that reflect sentiment post the EU referendum result. All indications are that lending has bounced back this month after a dip in July and August. Fears that the market may be cooling over the longer term post the referendum seem unfounded as first time buyer activity in particular is increasing, which is encouraging. However, uncertainty is currently clouding the buy-to-let market after the rule changes on stamp duty and that has had the desired dampening effect. Lenders will also be watching the impact of the Government’s decision to reduce the stimulus of schemes like Help to Buy even though it accounts for a relatively small amount of gross lending overall.
Unsurprisingly, with interest rates as low as they have ever been, re-mortgage activity continues apace as borrowers move to take advantage of the opportunities out there to cut monthly repayments. The hope is that this Brexit bounce can be sustained in the weeks and months to come and lead into a strong end to 2016. “