Mortgage Approvals Show Encouraging Growth as Rugby Property Market Strengthens

The latest figures from the Bank of England bring encouraging news for anyone considering buying or selling property in our town, with mortgage approvals showing sustained growth for the third month in succession. The data reveals that mortgage approvals for house purchases reached 65,352 in July, representing a 1.2% increase from June's figure of 64,571.

This consistent upward trend suggests that confidence is returning to the property market, which should be particularly welcome news for homebuyers and sellers across the local area. After a period of uncertainty in the housing market, these figures indicate that more people are successfully securing the finance they need to move forward with their property plans.

Richard Donnell, executive director at Zoopla, highlighted that mortgage lending for home purchases is now 3% higher than the same period last year. This growth mirrors the steady increase in new sales being agreed, which have recovered throughout 2025. The data suggests that the initial stages of property transactions are gaining momentum, with mortgage approvals typically following behind agreed sales by several weeks.

However, Donnell also noted some potential headwinds on the horizon. The gradual increase in average mortgage rates, combined with concerns about property taxes affecting higher-value properties, may temper activity over the coming months. For buyers in Rugby and the surrounding areas, this suggests that whilst current conditions remain favourable, those considering a move might benefit from acting sooner rather than later.

The positive sentiment is echoed by Colby Short, chief executive of GetAgent, who believes the rising approvals will reassure both buyers and sellers that market conditions are supportive for property transactions. Estate agents across the country are reporting increased buyer activity and a growing appetite to complete property transactions, suggesting that this front-end demand should eventually translate into more completed sales.

This trend could be particularly beneficial for the Rugby property market, where local knowledge and expertise become crucial in helping buyers navigate the improving conditions. The combination of increased mortgage availability and growing buyer confidence creates opportunities for both first-time buyers and those looking to move up the property ladder.

Jeremy Leaf, an estate agent and former RICS residential chairman, offered insight into the timing of this market upturn. He observed that many buyers and sellers use the summer holiday period for reflection about their property needs, often returning in late summer ready to make decisive moves. This seasonal pattern appears to be playing out again this year, with the solid mortgage approval figures reflecting buying aspirations that have been building over recent months.

The increased availability of property stock has contributed to higher numbers of agreed sales, though Leaf notes that having more choice available is also leading buyers to take longer with their decisions. For sellers in Warwickshire, this suggests that whilst there may be more competition, there are also more active buyers in the market.

Looking ahead to the next quarter, market observers expect activity levels to remain strong. However, there are some factors that potential buyers and sellers should keep in mind. Speculation about possible tax increases has led some buyers to pause their location decisions until there is greater clarity, particularly following the upcoming Budget announcement.

For those considering buying or selling property in the Rugby area, the current data suggests a market that is gaining strength whilst remaining manageable. The combination of improving mortgage availability, increased buyer activity, and growing transaction volumes creates a more balanced environment than has been seen for some time.

The mortgage approval figures serve as a more reliable indicator of market health than house prices alone, as they reflect actual financing decisions rather than asking prices. For local buyers, this means that whilst property values may not be rising dramatically, the fundamental mechanics of the market are working more effectively.

As always, anyone considering a property move should seek professional advice tailored to their specific circumstances. The improving market conditions provide opportunities, but individual decisions should always be based on personal financial situations and long-term housing needs rather than short-term market movements.