Net mortgage approvals for house purchases rose in March to 52,000 – up from 44,100 in February

The latest Bank of England Money and Credit figures also showed that approvals remain below the monthly average 2022’s average – 62,700.

But approvals for remortgaging with a different lender also went up, from 28,200 in February to 32,200 in March.

Mortgage rates have continued to rise with the average rate paid on a new mortgage up by 17 points in March, to 4.41 per cent.

Lucian Cook, head of residential research at Savills, said: “Today’s bounce in mortgage approvals reflects an increasingly stable and competitive mortgage market.

“The ability to better plan their prospective mortgage outgoings has brought buyers back to a housing market that has proved more resilient than we feared would be the case six months ago.

“Savills latest research of buyers and sellers reveals that commitment to move has improved significantly in both in the short and long term.

“A net balance of plus-28% have said that they are looking to move in the next three-to-six-months, up from a net plus-7% in November 2022.

“This said, ongoing inflationary pressures and the prospect of further rate rises mean cash and equity rich buyers are likely to remain in pole position over the remainder of the next six months.”

Mike Bradley, a senior broker at Home Owners Advice, said: “Rising approvals show market resilience and it rather defies the state of the economy which has record levels of debt.

“High employment levels remain and that does give lenders confidence that borrowers will have means to repay.”