Mortgage market upturn 'in sight'

Posted: 03 Mar 2009 09:02:16 GMT

The Intermediary Mortgage Lenders Association (IMLA) published research yesterday (March 2nd) showing that most intermediary lenders (75 per cent) believed that 2011 would be the year in which prime mortgage lending regained strength.

The research also found that as many as 73 per cent of IMLA members believed the British economy would return to strength next year.

Homeowners hoping to sell their home, however, may not be so pleased with the predictions, as the current low mortgage availability is likely to ensure buyers are few and far between, despite rising interest in the property market.

Selling a home online could offer homeowners the chance to obtain a higher price for their property, as a greater number of buyers may see the home and therefore an owner could enjoy more bids.

Peter Williams, executive director of the IMLA, added his own opinion on the barriers to the mortgage market regaining strength: "The securitisation funding model is basically sound, and I think it's realistic to expect activity to resume gradually when industry reforms and the government asset guarantee scheme is finally up and running.

"Ideally this scheme will encourage liquidity back into the securitisation and wholesale markets."



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