Mortgage lending remains steady
- 10th September 2008
- Selling Property News
Figures just released by the Council of Mortgage Lenders show that mortgage lending remained steady in July, while remortgages increased.
There were 47,400 house purchase loans worth £7.1bn in July and 85,000 remortgage laons worth £11.9bn which is up 14% in volume and 16% in value from the previous month of June.
Loans to first time buyers fell, but this could be attributed to the wait and see attitude in conjuction with the anticipated news about stamp duty. Michael Coogan, CML's director general says: "Tighter lending criteria have clearly made it more difficult for first time buyers to enter the market.
"The stamp duty and shared equity measures announced by the government last week will be helpful to those first time buyers looking to enter now, but many may be waiting for house prices to stabilise."
Despite the CML's positive report most industry experts are waiting to see what the Crosby findings decide at the end of the month.
Mr Coogan continued: "Restoring the flow of funding to the mortgage market is crucial to helping the housing market recovery and we look forward to the findings of the Crosby Review at the end of the month."
The stamp duty and shared equity measures announced by the government last week will be helpful.
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