Mortgage lending on the up
Council of Mortgage Lenders
According to the latest figures from the Council of Mortgage Lenders (CML), gross mortgage lending stood 26% higher in July than in the previous month. Although gross lending was £16bn, it is still one third lower than the same period last year.
CML economist Paul Samter said:
"Most of the indices point to house prices rising modestly over the summer months. The CML's July gross lending estimate of £16 billion is the highest level in nine months and consistent with the rise in house purchase approvals.
"But the bounce-back in activity from the extreme weakness around the turn of the year, coinciding with a seasonal bounce, is limited in how far it can go against the current back-drop. We expect improved sentiment to support the market, but a further significant pick-up is unlikely with so many obstacles in place. As a result, we anticipate some seasonal slowing in lending volumes and housing transactions over the latter part of the year and the picture of a slow but more stable market to emerge."