Lenders report house purchase mortgage demand net balance of -37.1 in Q3, down from +14.9 in Q2, Bank of England survey shows

The Bank of England Credit Conditions Survey, reported on 8 October, shows lenders’ net balance for house purchase demand swinging from +14.9 in Q2 to -37.1 in Q3, with remortgage demand falling from +42.5 to -32.5 and secured credit availability dropping from +2.6 to -15.5. Net balances measure the share of lenders reporting a rise minus the share reporting a fall, so these are sharp reversals in direction rather than a measure of volume. For buyers, tighter availability means fewer or narrower choices of deal; for sellers, weaker demand points to longer sales and less room to hold out on asking prices. Lenders expect remortgage demand to recover (+23.1) and credit availability to improve slightly (+5.1) over the next three months, but those are expectations, and the Autumn Budget and possible rate rises could slow any rebound.