New mortgage approvals in Ireland rose slightly during the second quarter of this year, it has been revealed.

First time buyers accounted for quarter of all new mortgages taken out during the period.

A market profile report from IBF/PwC showed 12,686 new mortgages were taken out between April and May, representing a value of €2.2bn.

This was a 15.4% growth on the previous quarter, however, it is still down some 64% year on year.

First time buyers represented a 25% share of the overall market by volume, and have consistently increased their market share over each of the last six quarters.

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The key home purchaser segments of the market - first time buyers and 'mover purchasers' - together now make up 60% of the total market by value.

The Residential Investment Letting market has continued to decline and is the only segment not to record a quarter on quarter increase.

Commenting on the data, IBF Chief Executive Pat Farrell said: "While the overall level of mortgage activity continues to reflect the very challenging economic environment, it is reassuring to see that those focused principally on home purchase, first-time buyers and mover purchasers, now have a record share of the total market - albeit a smaller market.

"By contrast, the investment end of the market continues to show the greatest decline."

The Irish Banking Federation (IBF) is the leading representative body for the banking and financial services sector in Ireland, representing over 70 member institutions and associates, including licensed domestic and foreign banks and institutions operating in the domestic financial marketplace.

(PR/BMcc)