Mortgage market boosted in Northern Powerhouse
The mortgage industry supported 85,000 households in the North of England to buy their first home in 2018, the highest number since 2006, according to UK Finance.
The trade body found that first-time buyers are taking advantage of better affordability in the region, with average deposits and loan to income multiples lower than elsewhere in England.
There was also steady growth in the number of homemovers across the region, in contrast to an overall decline across the UK.
Bucking the buy-to-let trend
Major cities in the North including Newcastle, Liverpool and Hull even saw strong growth in buy-to-let lending, with landlords attracted by rental yields above the UK average.
Jackie Bennett, director of mortgages at UK Finance, said: “These figures show the North of England has a strong and dynamic mortgage market, with lenders helping thousands of first-time buyers onto the housing ladder. This has been combined with a steady increase in homemovers, making it easier for buyers to find a property that suits their needs.
“Meanwhile, attractive rental yields in many Northern cities have driven growth in buy-to-let lending, bucking the national trend. The mortgage industry stands ready to work with the UK government and local authorities to capitalise on these strengths and help deliver on the full economic potential of the Northern Powerhouse.”