Roger Evans, Director of Home Finance Distribution, comments on the Bank of England's Money and Credit Mortgage data for February 2022

“Approvals for new mortgages are still high above pre-pandemic levels, but this monthly fall suggests that low housing stock is starting to have an impact on the number of buyers seeking mortgages.

“Many people are acting on their long-held plans to move home, with a number of them still searching for larger homes to accommodate new hybrid and remote working lifestyles.

“When it comes to rate rises, the Bank of England’s direction of travel is well understood. All buyers will be conscious that to act quickly will mean they’ll likely beat further increases. This rush to secure properties sooner rather than later is probably going to keep approvals above the pre-pandemic norm until at least the summer though continued softening is expected if stock levels do not start to bounce back.”