New figures show that the value of mortgages given out in the third quarter of this year was down more than 40% compared with the same period last year.
The mortgage market profile compiled by the Irish Banking Federation and PwC showed that there were 7,261 new mortgages in the three months to the end of September, down 40.4% from a year earlier.
These mortgages were valued at just over €1.2bn, a drop of 42.2% from a year earlier. The figures were also down compared with the second quarter of this year.
A breakdown showed that first-time buyers and those moving house continue to take a bigger share of the smaller mortgage market. First-time buyers now account for just over 40% of mortgage loans. The investment, re-mortgage and top-up areas of the market have all shown falls in value and market share.
IBF chief executive Pat Farrell said the figures showed that new mortgage lending activity remains subdued. 'The market is now predominantly supporting the process of home formation,' he added, referring to the increased share of the market taken up by home-buyers.
