In March this year the amount of mortgage lending occurring in the UK jumped by nearly 30 percent. This is largely because there is been a significant jump in the number of people buying homes. These figures come out of the Council of Mortgage Lenders.
Mortgage companies are also encouraging people to take out mortgages with them through special offers. For example, Halifax has started offering to pay half the stamp duty on any home that a person might buy, up to a value of £250,000. Stamp duty applies to properties that are sold under this value and it is charged at one percent, when talking about this amount of money, half of this amount is a significant amount.
In the first three months of this year it is estimated that around 50 percent of buyers have spent between £125,000 and £250,000 on a home. As you would expect, the price of properties purchased varies around the country with around 70 percent of homeowners in the south-west spending this amount of money.
Right at the other end of the spectrum is London, where only 40 percent of people spent this amount of money on a property, the other 60 percent spent over £250,000. For those who are purchasing a property that is less than £125,000, there is no stamp duty applicable.