Mortgage lending up 10% on last year

Tuesday 21st February 2012

Gross mortgage lending declined to an estimated £10.5bn in January. Lending fell by 14% from £12.2bn in December but was 10% higher than the total of £9.5bn in January 2011, according to the Council of Mortgage Lenders.
 
The CML said that although a seasonal decline was expected, January was the sixth month in a row of higher year-on-year lending.
 
CML chief economist Bob Pannell said: “Housing and mortgage market sentiment has improved a little over recent weeks.
 
“The increase in lending compared to January last year helps support our view that housing and mortgage market activity may be boosted by first-time buyers seeking to complete deals before the Stamp Duty concession ends in March.
 
“Should inflationary pressures continue to fall back, the squeeze on household finances should ease progressively and help support stronger economic recovery going into the second half of the year.

“This can only be good news for the housing market further down the track."