Almost €14.1 billion worth of mortgage drawdowns in 2022, the highest since 2008
- A total of 52,634 mortgages to a value of €14.1 billion were drawn down in 2022
- Almost 108,000 FTB loans have been drawn down in the past five years
- A total of 58,276 mortgages to the value of €15.8 billion were approved in 2022
Wednesday, 1st February 2022 – Banking & Payments Federation Ireland (BPFI) has today published the latest figures from the BPFI Mortgage Drawdowns Report for Q4 2022 and the BPFI Mortgage Approvals Report for December 2022.
The following are the key figures from the Mortgage Drawdowns Report for Q4 2022:
- A total of 15,888 new mortgages to the value of €4,353 million were drawn down by borrowers during the fourth quarter of 2022.
- This represents an increase of 19.5% in volume and 31.5% in value on the corresponding fourth quarter of 2021.
- A comparison with the previous quarter (Q3 2022) shows an increase of 7% in volume and 7.3% in value.
- First-time buyers (FTBs) remained the single largest segment by volume (46.8%) and by value (46.2%).
- Year-on-year drawdown volumes rose by 21% to 52,634 while values rose by 34.3% to almost €14.1 billion. These were the highest levels since 2008.
In addition, BPFI also published today the latest figures from the BPFI Mortgage Approvals Report for December 2022:
- A total of 3,635 mortgages were approved in December 2022 – some 1,789 were for FTBs (49.2%) of total volume) while mover purchasers accounted for 798 (22.0%).
- The number of mortgages approved in December fell by 33.1% month-on-month and by 5.7% year-on-year.
- Mortgages approved in December 2022 were valued at €996 million – of which FTBs accounted for €485 million (48.7%) and €255 million by mover purchasers (25.6%).
- The value of mortgage approvals fell by 33.5% month-on-month and 1.5% year-on-year.
- Year-on-year approval volumes rose by 9.3% to 58,276 while values rose by 17.9% to €15.9 billion.
Speaking on the publication of the data, Brian Hayes, Chief Executive, BPFI said: “Our latest mortgage data which provides an annual picture for 2022, shows significant numbers of both drawdowns and approvals and a particularly strong year for First Time Buyers.”
“Drawdown volumes rose by 21% to 52,634 while values rose by 34.3% to almost €14.1 billion. These were the highest levels since 2008. At a segment level, FTBs continue to drive the growth with FTB volumes at their highest level since 2007 and 26.3% higher than in 2008. By contrast, mover purchase volumes were 47.3% lower than in 2008.”
“In annual terms, approvals volumes reached 58,276 in 2022, up 9.3% on 2021, largely driven by the growth in non-purchase approvals. The value of approvals jumped by 17.9% to €15.9 billion. These are the highest levels recorded since the data series began in 2011.”
Mr Hayes added: “Looking to the year ahead, we expect housing and mortgage demand to remain strong despite the challenging economic environment. Almost 108,000 FTB loans have been drawn down in the past five years and lenders will continue to support customers as they seek to buy or build a home”
Mortgage drawdown data from Q1 2005 onwards is available in Microsoft Excel XLS format in the BPFI Mortgage Drawdowns report data series. Download the BPFI Mortgage Drawdowns Report time series here.
Note: Banking & Payments Federation Ireland (BPFI) represents the banking, payments and fintech sector in Ireland. Together with its affiliates, the Federation of International Banks in Ireland, and the Fintech & Payments Association of Ireland, BPFI has over 125 member institutions and associates, including licensed domestic and foreign banks and institutions operating in the financial marketplace here.