Gross mortgage lending increased in July

Posted: 20 Aug 2010 09:06:51 GMT

Gross mortgage lending rose by five per cent in July, with total lending standing at an estimated £13.6 billion, according to the Council of Mortgage Lenders (CML).

However, although the figure increased from £12.9 billion in June, it is still three per cent lower than the £14 billion seen in July 2009.

CML economist Paul Samter said the market will probably be slow for the remainder of this year.

"The rest of 2010 is likely to see rather lower lending and transaction numbers compared to the same period last year," he added.

Mr Samter noted the sector did pick up slightly towards the end of 2009, as buyers wanted to move before the end of the first stamp duty holiday.

He explained most homeowners are currently taking advantage of the low interest rates, which he thinks will continue "for some time yet".

Ray Boulger, senior technical manager at John Charcol, recently claimed fixed-rate mortgages are now more attractive to borrowers than they have ever been.
 

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