CML: Mortgage lending down 4% on month

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by Kay Murchie

The Council of Mortgage Lenders (CML) has today revealed that the number of home loans approved for house purchase fell 4% in November compared with the previous month.

According to the CML, there were 53,000 mortgages granted to buyers, a fall on October but this was due to a “seasonal dip”.

However, the CML did highlight that the figures were still 66% higher than in November 2008.

Remortgaging activity continued to remain at low levels, as a result of the low interest rate environment, said the CML.

The Council added that first-time buyers were still having to put down a hefty deposit of 25% but with interest rates still remaining at the historic low of 0.5%, mortgage interest payments are so affordable for homemovers and first-time buyers.

However, the CML’s director general Michael Coogan, warned that “with substantial deposits still needed to secure a mortgage, the market will continue to be relatively restrained for some time to come.”