MBT Affordability Index
The latest MBT Affordability Index has found that the average maximum loan available to mortgage borrowers in November was £278,145, while the average minimum loan was just £133,166.
This represents a startling difference of £144,979 between the average maximum loan and the average minimum loan available to customers, and this difference alone is more than the average price of a property in the North East of England. Figures from the ONS say the average property price in the North East is £136,262.
The latest MBT Affordability Index shows a consistent trend in the large spread of average maximum and minimum loan sizes available from lenders, while the most notable trend in this month’s report shows a sharp uplift in the average loan size requested by Remortgage customers – from £183,471 in October to £198,829 in November.
At the same time, the average loan size requested by home movers has fallen from £248,950 to £238,000, as has the maximum average loan size available to customers in this category. In October, the maximum average loan size available to Home Movers was £318,571 and this dropped to £307,440 in November.
The picture for first time buyers has remained relatively consistent, although the minimum average loan size available to customers in this category fell to £130,333 in November from £140,828 in October.
Full details from the Index are available below and more information is available at www.mortgagebrokertools.co.uk