Tag Archives: Lending

Mortgage Lending Recovers But Still Less Than a Year ago Latest Articles, Mortgage News

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"Mortgage lending is up, but not up to last year"

Mortgage lenders released the purse strings on home loans slightly in August, but this year looks unlikely to equal last year’s lending.

Remortgaging was up significantly, with 34,100 loans worth £4.2 billion, making both the number of loans and amount borrowed were more than 30% higher than August 2010.

The number and total value of home buyer loans also hit a high for 2011, with 52,000 mortgages worth £7.9 billion.

Nevertheless, lending for the year so far stands at just 329,000 loans to buy homes worth £48 billion when the totals for 2010 were 513,000 loans worth £75 billion. Lenders will have to advance substantially more funds for the rest of the year to reach last year’s levels.

The lack of home sales is reflected in a rising number of remortgages throughout the year.

Although the Council of Mortgage Lenders (CML) reports a massive increase in August, their statistics show that last year’s 865,000 remortgages worth £118 billion is unlikely to be matched, with this year’s totals currently standing at 230,000 remortgages worth £28 billion.

Paul Smee, director general of the CML, said: “Even though it is impossible to ignore the knocks to confidence emanating from the Euro zone, August lending showed welcome signs of life. With those moving house experiencing a record low in the proportion of their income needed to pay their mortgage interest, it is clear that the low rate environment is a benefit to those with mortgages, even against the backdrop of the gloom in the wider economy.

“Lending to both first-time buyers and home movers was at its highest for over a year.”

The outlook for first time buyers even bleaker as just 19,000 mortgages worth £2.4 billion were agreed in August – up 5% on July and 5% on 12 months earlier.

Most home buyers opted for repayment mortgages.

Gross mortgage lending increased 12% in May Latest Articles, Mortgage News

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Gross Mortgage Lending up 12% in May

According to new data from the Council of Mortgage Lenders, gross mortgage lending totalled an estimated £11.3 billion in May, which represented a 12% increase from the £10.1 billion lent in April, and was 1% higher than in May 2010. Gross mortgage lending includes lending for both house purchase and remortgage. Continue reading Gross mortgage lending increased 12% in May

Buy to let landlords offered choice of 463 mortgage deals Latest Articles

Businessman handshake in the cityLenders are encouraging buy to let landlords to invest in more property by increasing the number of mortgages and dropping interest rates.

Independent financial information firm Moneyfacts monitors the market and has disclosed borrowers can choose from around 463 buy to let deals – 55% up on the 299 mortgages offered 12 months ago.

Continue reading Buy to let landlords offered choice of 463 mortgage deals

Buy to let lenders tighten up on mortgage fraud Latest Articles

Buy to let mortgage lenders are barring legal advisors who have not signed up to the new Conveyancing Quality Scheme (CQS) from acting for them.

More than 700 legal firms have joined the CQS scheme – and mortgage lenders are making membership a condition of acting for them for every buy to let purchase. Continue reading Buy to let lenders tighten up on mortgage fraud

CML slams mortgage reform without reading the details Latest Articles

The industry-voice of Britain’s mortgage lenders has already slammed a European Commission proposal to help borrowers before appearing to read the document in detail. 

The Council of Mortgage Lenders (CML) claims more moves to protect consumers are unnecessary because the UK already has a highly regulated financial services industry.  Continue reading CML slams mortgage reform without reading the details

Buy to let rents will keep going up, say letting agents Latest Articles

>Buy to let rents are rising fast as more tenants chase fewer properties, say letting agents.  They returned the highest positive rating ever in the Royal Institution of Chartered Surveyors residential lettings survey as four out of 10 letting agents confirmed rents continued to increase. Continue reading Buy to let rents will keep going up, say letting agents

Housing supremos pledge support for first time buyers Latest Articles

Housing Minister Grant Shapps wants key players in the housing sector to join together to help first time buyers find homes.  House builders, lenders, insurers, councils and consumer groups turned up for a summit meeting chaired by Mr Shapps, to thrash out how they could help young people who want to own their own home. Continue reading Housing supremos pledge support for first time buyers

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