The number of new mortgages issued in the second quarter of the year increased by over 50% on the previous quarter.

New figures from the Irish Banking Federation (IBF) show that between April and June over 3,200 home loans were drawn down. It represents the first annual growth in the number of mortgages being issued in seven years.

The Irish Banking Federation says figures today show there is some recovery underway in the housing market. 3,229 new mortgages were issued in the second quarter of the year - compared to 2,068 during the first quarter - a jump of 56.1%.

€518 million in home loans were granted during the three months. First time buyers accounted for just under half of the mortgages with mover-purchasers almost 36%

The increase represents a rise of 1.1% on the number of mortgages over the same period last year.

However the IBF says that while modest, it is the first year on year growth since 2006.

The statistics also show that the average size of loans been drawn-down stands at just over €160,000.

Felix O'Regan is the Director of Public Affairs with the IBF.