UK June mortgage approvals 64,167; est. 63.1K

UK June mortgage approvals 64,167; est. 63.1K

UK mortgage approvals in June have exceeded expectations, with a total of 64,167 approvals reported, surpassing the estimated 63,100. This figure represents a 2.5% increase compared to the previous month, indicating a steady recovery in the UK housing market [1].

The Bank of England released the data at 4:30 am ET on July 2, 2025. The number of mortgage approvals is seen at 63,000 in June, but the actual figure was 64,167, highlighting the resilience of the UK housing sector [1].

This development comes amidst a broader economic backdrop where Spain's statistical office INE published flash GDP data, showing the economy growing at a steady pace of 0.6 percent in the second quarter. Additionally, the European Central Bank released consumer expectations survey data, and manufacturing Purchasing Managers' survey results were due from Austria [1].

The increase in mortgage approvals is attributed to several factors, including the availability of bigger home loans and less stringent affordability testing. According to Zoopla, the housing market is experiencing a "buyer's market" with a record number of homes for sale, which has kept price rises in check [2].

The average UK house price in June was £268,400, up £3,350 (1.3%) from a year earlier. Despite the signs of a bustling market, Zoopla has halved its house price forecast for 2025 as buyers are taking into account increased stamp duty costs in their offers [2].

The UK mortgage approvals data is significant for investors and financial professionals as it provides insights into the health of the housing market and can influence future economic policies and interest rates. The Bank of England's decision to hold steady on mortgage rates has boosted buying power, contributing to the increase in mortgage approvals [2].

References:
[1] https://www.rttnews.com/3558352/european-economic-news-preview-uk-mortgage-approvals-data-due.aspx
[2] https://www.theguardian.com/business/2025/jul/29/new-mortgage-affordability-rules-help-uk-housing-market-avoid-summer-lull