LONDON (MNI) – UK homeowners continued to inject substantial
amounts of equity into their properties in the second quarter of this
year, Bank of England data show.
Second quarter housing equity withdrawal was -stg9.829 billion, a
net equity injection, the largest injection since the -stg10.187 billion
HEW outturn in Q2 2011. Since June 2008 the BOE data have shown net
injections, with the onset of the financial crisis rapidly reversing the
previous trend for UK homeowners to borrow against their properties.
With mortgage rates and volumes low by historic standards the data
have shown homeowners increasing their equity. HEW as a share of
post-tax income held steady at -3.6% in Q2 and was last lower at -3.9%
in Q2 2011.
Housing equity withdrawal is a measure of secured borrowing not
invested in the housing market. It is the net result of increases in
mortgage lending and capital grants minus household investment in
housing.
-London newsroom: 0044 20 7862 7491; email: drobinson@marketnews.com
[TOPICS: M$B$$$,MABDA$,MABDS$]
