Housing Market Shows Signs of Picking Up, with All Eyes on Rates

Caz Blake-Symes • March 25, 2024

Adapted from a BBC News article by Kevin Peachey, with image source from Getty Images



Signs of life were seen in the UK housing market in the new year with a rise in the number of mortgages being approved.

Activity remains weak overall, with potential buyers still nervous about high interest rates.

But the latest Bank of England data shows approvals for house purchases rose to 55,200 in January from 51,500 in December. This was the highest level since October 2022.


Borrowing on credit cards also picked up last month. People took on £1.9bn more in credit on cards, car finance and other loans in January than they repaid.

All eyes on rates

Mortgage lenders have been shifting the interest rates charged on home loans at a rapid rate since the start of the year. This started with some significant cuts to the cost of new fixed-rate deals.


However, in recent weeks, these rates have started to creep back up. Many potential buyers have put plans on hold in the hope that the Bank of England will cut the benchmark interest rate later in the year, which would influence lenders' decisions.


The upheaval over the past year is shown in the Bank's figures, which show homeowners actually repaid more money on mortgages than they took out in new lending in the year to January - the first time this has happened since comparable records began 30 years ago.


This was mainly due to people being reluctant to borrow when mortgage rates were so high during mid-to-late 2023. Mortgage repayments still outstripped new lending by £1.1bn in January.


Separately, property sales at the start of the year were slightly up compared with December, but 12% lower than January last year.

The housing market is a major factor in the performance of the UK economy as a whole.


Any of our Advisers at Bristol, Weston, Bath and Exeter Mortgages Online would welcome the opportunity of discussing your mortgage requirements and to arrange to quote you on all the various options available to meet your specific needs.


Contact Us

For further details about the mortgage and protection products we offer as a fully independent mortgage broker, or any other mortgage information, book your FREE CONSULTATION with one of our expert Mortgage and Protection Advisers.

Bristol Mortgages Online           www.bristolmortgagesonline.com            Tel 0117 325 1511

Bath Mortgages Online                 www.bathmortgagesonline.com             Tel 01225 584 888

Weston Mortgages Online            www.westonmortgagesonline.com        Tel 01934 442 023

Exeter Mortgages Online             www.exetermortgagesonline.com         T  el 01392 690 888



Check out our January 2026 Newsletter!

By Caz Blake-Symes • January 19, 2026
This month’s edition is packed full of informative articles, including • Welcome and overview from Phil Clark • Base rate cut to 3.75%: what could it mean for mortgages? • Interest-Only Mortgages For Later Life. • Need Short-Term Property Finance? • What You Should Know About Second Charge Mortgages • Time to Remortgag

Thinking of Moving or Changing Your Mortgage in 2026?

By Caz Blake-Symes • January 6, 2026
Image courtesy of Freepix Happy New Year! Hope you all had a good Christmas Break and avoided the dreaded coughs and colds. I had the opportunity over the holiday to review many of the various property and finance reports available online, as well as those to which I subscribe. Pleasingly, the general tone is very opti

Season's Greetings from Phil Clark

By Caz Blake-Symes • December 20, 2025
I would like to wish you and your family a very Merry Christmas and a Happy and Healthy 2026

Base rate cut to 3.75%: what could it mean for mortgages?

By Caz Blake-Symes • December 18, 2025
The Bank of England meets every six weeks to decide what should happen to interest rates, with the aim of keeping inflation to its target and keeping the wider economy healthy. Today, Base Rate was cut from 4% to 3.75%.

House Price Index: November 2025

By Caz Blake-Symes • December 8, 2025
With the Budget uncertainty now lifted, buyers and sellers can return to making decisions about their next move. Removing the threat of a new annual property tax from 210,000 homes for sale will help revive market activity in higher-value areas. However, the lack of any stamp duty reform means homebuyers will continue

Check out our November newsletter!

By Caz Blake-Symes • November 28, 2025
Please click here to see our November newsletter This month’s edition is packed full of interesting articles, including What does the Budget mean for you? Interest-Only Mortgages For Later Life. Need Short-Term Property Finance? What is the Renters’ Rights Act, and what does it mean for tenants? What You Should Know About Second Charge Mortgages Time to Remortgage? Stunning 5-star Google Reviews! Let Us Help You If You Have Adverse Credit How to Contact Us You can also read more articles on our Blog. We hope you enjoy this Newsletter. If you have any queries, please call Phil Clark on 0117 325 1511 or email info@swmortgages.com

Budget 2025: Key points at a glance

By Caz Blake-Symes • November 27, 2025
Rachel Reeves has set out details of her second Budget since becoming Chancellor. Some measures from the yearly tax and spending plan had already been announced in the days leading up to the statement.

Interest-Only Mortgages For Later Life

By Caz Blake-Symes • November 19, 2025
We are thrilled to be able to offer this fantastic product through the Family Building Society. This interest-only mortgage gives those of retirement age and beyond the opportunity to free up equity from their home, without the huge costs often faced when considering Equity Release or a Lifetime Mortgage.

Need Short-Term Property Financing?

By Caz Blake-Symes • November 12, 2025
Thinking about buying a new property before selling your current one? Or maybe you need quick funds to complete a renovation or secure an investment opportunity? You’re not alone. With today’s fast-moving property market, many homeowners and investors are turning to bridging loans to bridge the gap.

What is the Renters’ Rights Act,and what does it mean for tenants?

By Caz Blake-Symes • November 1, 2025
The changes laid out in the Renters’ Rights Bill were the biggest shakeup of rental legislation in decades. In October 2025, the Bill gained Royal Assent, which means the bill becomes the ‘Renters’ Rights Act’, and will now become law.