Mortgage search volumes have increased by 14.6% week-on-week since the Budget.
Mortgage search volumes have increased by 14.6% week-on-week since the Budget on 3 March 2021, according to the latest data from Experian.
Mortgage enquiries on Experian’s mortgage comparison service also increased by 13.5% in the three weeks following the Budget, as searches progressed to formal applications.
Of these, house purchase leads make up a higher proportion of searches than remortgages, further demonstrating the impact of the stamp duty holiday extension.
When analysing data over a four-week period, mortgage applications rose the most in the week commencing 7 March 2021, up 8% over the previous week. Growth is being fuelled by those under 30, as mortgage applications increased 4.2% amongst this age group in the first two weeks of March 2021, when compared with the last two weeks of February 2021.
Clive Lawson, managing director of Experian Consumer Services, said: “Interest in home ownership continues to rise as the stamp duty holiday extension allows consumers to put down larger deposits.
"The return of government-backed 95% mortgages could also help more people realise the dream of buying a home, especially young homebuyers.
“With mortgage options continuing to steadily increase, it’s important to use a broker and eligibility services, especially for higher loan-to-value ratios, so you get the product that’s best for you. People with high scores tend to be able to access the best mortgage rates, so it’s worth taking some time to make sure your credit score is in the best possible shape too”.
Moving up a credit score band can have a significant impact on application approval and mortgage savings.
For example, if an individual improves their Experian score band from Very Poor to Fair, Experian data suggests they could save an average of £1,032 per year on a £150,000 mortgage loan with a 20 year-term, as they would likely be paying a lower interest rate.