RICS gives reaction to mortgage approvals rate

Date:Tuesday 30th March 2010
Author: Max Freedman

According to the Royal Institution for Chartered Surveyors (RICS), the fall in mortgage rate acceptance in the early part of this year was not surprising.

However, the organisation has stated that it expects the numbers to pick up slightly in the coming months, in part down to the recent budget announcement.

Simon Rubinsohn, RICS chief economist said that the new stamp duty holiday for first time buyers is likely to see the situation improve.

Immediately following the announcement, the industry body stated that it felt the new rules were welcome and would be a boost to many people looking to buy for the first time.

"Lack of mortgage finance and uncertainty stemming from the approach of the general election will remain a drag on activity but our suspicion is that mortgage approvals will still climb," he said.

Mr Rubinsohn added that the group believes this figure could increase to more than 50,000 approvals per month during the spring.