Net mortgage borrowing reached a record high of £17.9 billion in June 2021 as homebuyers looked to take full advantage of the stamp duty land tax holiday just before it began to taper off in July.
The previous peak was in March, when buyers tried to beat the initial deadline of the stamp duty holiday, when net lending hit £11.5bn, the first time the market rose above pre-financial crisis levels.
Before 2021, the highest peak was back in March 2016, when landlords raced to complete transactions before the 3% stamp duty surcharge on second homes was introduced.
Approvals for house purchases decreased to 81,300 in June from 86,900 in May, however, suggesting that mortgage borrowing will fall back further in the future.
The nil-rate band is currently £250,000 and will reduce to the standard £125,000 when the stamp duty holiday ends completely on 1 October 2021.
Talk to us about the stamp duty land tax holiday.