Lenders have told the Bank of England that demand for mortgages “increased significantly” over the summer, and they expect it to keep rising.
They also said demand from homeowners remortgaging picked up significantly in the third quarter of the year.
The views were reported in the Bank’s <a title=”Bank of England Survey” href=”http://www.bankofengland.co.uk/publications/Documents/other/monetary/ccs/creditconditionssurvey131009.pdf” target=”_blank”>Credit Conditions Survey</a>.
Lenders also expected demand from businesses for loans to increase over the next three months.
The report said that low mortgage rates had been behind the increased interest from home seekers and owners.
The increase in demand for mortgages was not matched by consumer demand for borrowing on credit cards or personal loans, or by demand for business loans in the third quarter of the year.