Mortgages even harder to find, say 27% of movers

Mortgage funding is as tight as three months ago or even tighter, say nearly eight in ten would-be home movers.

A survey of 5,442 home owners by Zoopla underlines worries over job losses and interest rate hikes.

Although 78% of the sample think property prices will rise over the next six months, the proportion has fallen from 81% three months ago.

While 50% say mortgages are as difficult to obtain as three months ago, 27% say it has actually become harder. One in three (34%) cite mortgage availability as the biggest continued threat to the housing mortgage.
 
A potential rise in interest rates is a major worry for 25% and job losses in the public sector concerns 21%.

Nick Leeming, commercial director of Zoopla, said: “The fear remains that the revival in the housing market will be derailed unless the banks make a concerted effort to increase lending.”

Ironically, according to Mortgage Brain, the number of mortgages available has now broken the 6,000 barrier for the first time since November 2008.

Following three consecutive monthly increases, the total number of live mortgage schemes listed on its mortgage sourcing system stands at 6,009, up 4% from 5,803 at the end of May. This time last year, there were just 2,413 mortgages.

But today's figure still barely stands comparison with the height of the market, in August 2007, when there were over 30,000 mortgage products available.