Rachel Springall, Finance Expert at Moneyfactscompare.co.uk, said:

“The latest statistics paint a positive picture for house purchases in September, off the back of a weaker August. However, it is worth noting that different times of the year can record seasonal dips or rises for house purchase. The latest data shows a contrast for remortgage approvals though, dropping for another month. However, as we get closer to the end of the year, there will still be some borrowers looking to remortgage, and those still locked into a fixed deal could still agree a new one in readiness for when a fixed term expires. It is worth pointing out some borrowers might not move lenders when they do this, and that the Bank of England approval data for remortgaging only captures those with a different lender.

“Net borrowing of mortgage debt noted a significant jump, rising by £1.2bn to £5.5bn in September, the highest since March 2025 (£13.2bn). Regardless, there will be borrowers sitting on the fence until the Budget, and others stuck due to a short supply of affordable housing. Depending on the area of the UK, house prices may be stretching borrowers searching for a new deal, so it’s important to try to increase their deposit or build up more equity in their home to make up the difference.

“Over recent weeks, borrowers may be pleased to see mortgage rates have been on the downward trend, and it looks promising for more fixed rate cuts to continue due to swap rate moves (which lenders watch very closely to re-price their loans). Now is a great time for anyone looking for a new deal to seek advice from a broker to assess the latest options. Mortgage prisoners who have not been able to borrow more could now break free of their costly variable rate mortgage and secure a lower fixed rate deal.”