Gross mortgage lending up on last year
21st May 2012
Gross mortgage lending in the UK is up on this time last year, according to the latest report from the Council of Mortgage Lenders.
The data shows that gross mortgage lending was an estimated £10.2 billion in April, which is two per cent higher than the £10.0 million recorded in the same month last year.
Overall, lending in the UK fell by 19 per cent from the £12.6 billion recorded in March but a major reason for this is likely to be the end of the stamp duty holiday, the CML predicts.
Bob Pannell, chief economist at the organisation, said that mortgage lending activity has been "relatively buoyant" in recent months, with stronger lending for house purchase underpinning the more upbeat lending picture.
"The underlying picture is likely to be a bit stronger than the April figure suggests, because some first-time buyers are likely to have brought forward their transactions to March to take advantage of the stamp duty concession that was coming to an end," he added.
Recently, Paul Holmes, chief executive officer at the mortgage advice organisation Firstrung, said that the high number of loan-to-value (LTV) mortgages being offered in the UK means that now is a good time to buy property.
He explained that there is evidence that lenders will begin to offer more help for first-time buyers in the near future, and boost the market.
Posted by Staff Writer: Frances McDonald
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