The increase in mortgage approvals shows the resilience of the housing market according to John Phillips, national operations director of Just Mortgages.

It was revealed in the Bank of England’s Money & Credit data that the number of mortgage approvals reached 105,000 in November, with net mortgage borrowing also increasing to £5.7bn.

This increase represents the highest level of mortgage approvals since August 2007.

Consumer confidence in the housing market dips

Phillips said: “The increase in approvals to levels we’ve not seen since the last recession shows the incredible resilience of the housing market.

“Despite an incredibly tough year, the housing market continues to progress and our brokers have supported a huge number of people to find the right mortgage product.”

Looking to 2021, Phillips believes that despite a drop in activity as we approach the stamp duty holiday deadline, the housing market will continue to perform well.

Beyond the stamp duty holiday, recent transactions have been motivated by people’s priorities changing.

Phillips details that with working from home becoming the norm, an extra bedroom to use as a study has been high on the priority list.

In addition, more people are seeking properties with a garden space in case of another lockdown.

Phillips said: “With vaccines being rolled out, we expect confidence to build in the property market and 2021 should be another strong year.”