There were 5,446 new mortgages to the value of €1.01 billion drawn down by borrowers in Ireland during the first quarter of 2016 according to the Banking & Payments Federation Ireland (BPFI) Mortgage Drawdowns Report published today.
These latest figures represent a decrease of 32.7% in volume and 29.9% in value compared with the previous quarter (Q4 2015). They also represent a decrease of 3.1% in volume but an increase of 2.5% in value on the corresponding first quarter of 2015.
The first quarter has traditionally been the weakest in any calendar year and but in this case the first quarter of 2015 was an unusually strong. First-time buyers (FTBs) remain the single largest segment by volume (47.7%) and by value (45.8%). Together, FTBs and mover purchasers accounted for 86% of the total value of mortgages drawn down.
The report also shows that the volume and the value of re-mortgage loans (switching) continue to increase – albeit from low levels. There were 392 re-mortgage loans in the first quarter of 2016 to the value of €78 million, reflecting year-on-year growth of 127.9% in volume and 88.6% in value.
The average FTB and mover-purchase mortgage drawdown each rose in first quarter 2016, to its highest level since the second quarter 2011 and first quarter 2011, respectively.
Source: www.businessworld.ie