Mortgage approvals were higher in June than at any point in the last 15 months, according to new figures released today.
The survey, published by the British Bankers" Association (BBA), covers approved lending from the major banks. These lenders approved 35,235 loans for house purchases during the month.
The figures represent a 65 per cent increase in mortgage lending when compared to June 2008.
But the BBA has warned that lending volumes for remortgaging or other loan types are still very low. Approvals for remortgaging enjoyed a month-on-month rise in June, but are still 52 per cent lower than this time last year. Personal loans dropped by £1.3bn during the first two quarters of 2009.
While today"s mortgage figures offer some solace to those struggling to find a loan, many analysts still maintain that there is no basis for a sustained recovery in either lending or the housing markets. Monthly increases can be distracting - overall lending volumes are still very low and general willingness to lend remains subdued.