Twenty7Tec Issues Weekly Mortgage Statistics: Week ending 4 April
Twenty7Tec, a leading provider of technology solutions to the mortgage industry, this morning issues the weekly mortgage statistics for the week ending 4 April.
Using the company’s INSIGHT platform, it will be providing free daily market analysis reports during the Covid-19 crisis.
Stats from the mortgage market from week ending 4 April 2020
Total figures
The volume of searches in week ending Saturday 4 April was:
- down 20.87% on the previous week
- down 39.69% on two weeks ago
- down 44.05% on four weeks ago
The volume of documents produced in week ending Saturday 4 April was:
- down 26.00% on the previous week
- down 37.39% on two weeks ago
- down 41.97% on four weeks ago
The total value of loans required in week ending Saturday 4 April was:
- down 27.43% on the previous week
- down 38.97% on two weeks ago
- down 43.20% on four weeks ago
Purchase v remortgages
Purchase mortgages normally represent 55-60% of the market. This week, they represent 31.58% (versus remortgages at 68.42%).
Over a four-week period, searches for purchase mortgages are down 72.24%, whereas remortgages are down 14.71%.
BTL v purchase
Buy to Let has a long-term average of 19.78% of searches with standard residential searches representing 61.25% of all searches in the past year.
However, over the past four weeks, BTL searches as a percentage of all searches has risen to 21.29%
Commentary: James Tucker, CEO of mortgage technology provider Twenty7Tec says:
“The figures overall are clearly reflective of the challenges faced by the mortgage and property markets at this time. The daily search volumes this week are five of the six worst performing weekdays in the past four weeks, a similar story from the week before. The loan values being requested have dropped 43.20% over the past four weeks.
“There are glimmers of good news, however. Buy to let is holding up and represents a higher percentage of the market than the long-term average (21.9% v 19.78%). Landlords may well have been buoyed by the Government’s decision not to grant rent holidays.
“The second relative piece of good news is that remortgage search volumes are still holding up. They have dropped by 14.71% in the past four weeks but compared to the drop in purchase searches (72.25%), it does show where the market has shifted to right now.
“The Government has rightly got its focus on whether or not social distancing is working and if we can pass through the peak of incidents over coming days. Our sense is that we are unlikely to see too many new policy announcements for our industry for at least another two weeks.
“In the meantime, I think that each of us needs to do what we do best: speak to our clients about their needs and help them as best we can.”
Kindly shared by Twenty7Tec
