The value of mortgage drawdowns in Ireland last year reached its highest annual level since the recession, according to the Banking and Payments Federation Ireland.

Some 53,340 mortgages to the value of €13.4 billion were approved in 2021, which was described by BPFI CEO Brian Hayes as a particularly strong year for first-time buyers.

BFFI said 43,490 mortgages valued at €10.5 billion were drawn down by borrowers,

"At a segment level, FTB volumes at their highest level since 2007 while mover purchase volumes were 48% lower," said Hayes (pictured).

Overall, mortgage drawdowns rose by more than a fifth year-on-year.

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Mortgage approval volumes increased by 24% year-on-year. The value of mortgage approvals jumped 30% to the highest levels since 2011.

Association of Irish Mortgage Advisors chairman Trevor Grant warned that without an increase in house completions, there would be a "real risk of the increasing demand and poor supply driving house price inflation".

He added: "A significant number of consumers who were in the market for a new home during Covid were unaffected from an income perspective during the pandemic and have increased their savings in the interim, all of which is contributing to the heightened level of activity."

The volumes of homeowner re-mortgaging their homes or switching their mortgage providers rose 41% year-on-year in 2021.

"Half of all mortgage switchers are as a result of mortgage brokers encouraging clients to consider a better deal," said Grant.