Tomorrow morning at 09:30, the Bank of England is publishing its Q2 Credit Conditions report. The report covers the demand, supply and pricing of mortgages. Clearly lenders have been hiking rates like there's no tomorrow recently, so with this in mind:
- How did demand for mortgages hold up during the second quarter of the year? Still strong? Starting to wane a bit? And why, obv?
- And the supply of loans? Were there more loans in Q2 than in Q1 or did lenders start to pull back a bit (due to affordability or service level concerns)?
- And the big one… What's been happening to the pricing of loans in Q2? Up and up we know. Any examples comparing a mortgage in June 2022 to June 2021 would be useful, with the repayment differential in pounds.
- Are rates going to keep rising, and if so by how much? Are we headed back to pre-GFC levels? What can we expect at the next rate meeting?
- Also, are you seeing any defaults or is that likely to happen when people come off their current fixed rates and into financial armageddon?
- Lastly, are you seeing examples of rate shock among clients yet?
No need to answer all the Qs and DO NOT write an essay FFS. It's been like reading War and Peace on repeat lately. 2-3 pars will do the trick. Remember: journalists want catchy soundbites, not John Stuart Mill. x