Mortgage Lending At Its Highest Since 2008
Mortgage lending has risen to £21.8 billion, up 19% from a year ago, industry figures have revealed.
According to the Council of Mortgage Lenders, this is the highest figure since 2008, when gross lending reached £23.6 billion. Month-on-month, gross mortgage lending was 8% higher than September’s lending total of £20.1 billion.
The CML said mortgage lending was likely to exceed its forecast of £209 billion this year. However, it believes market growth will be modest in the short term as affordability pressures will limit lending for first-time buyers and homemovers.
In September, house purchase approvals dipped below 70,000, while those for remortgages rose to 41,000. It said housing transactions have been slow to regain the levels of last year, largely influenced by the low level of properties offered for sale.
Supply constraints have reinforced upward price pressure across the country, adding to affordability pressures and further limiting future activity levels.