Menu
18/09/2003
Lending to home-buyers breaks monthly record
According to the latest survey from the Council of Mortgage Lenders (CML), borrowing for house purchase topped £11.5 billion in August – the highest figure since CML monthly records began.
This figure now accounts for 48% of total lending and compares with £11 billion (45%) in July, and £10.8 billion (52%) in August last year. The proportion of lending for house purchase was just 35% in April and May this year.
Remortgaging was still strong, say the CLM, at £9.4 billion (40% of the total). This was lower than July's £10.5 billion (43%), but up on last August's £8.2 billion (40%).
The survey also found that the average rate charged on a new variable rate mortgage was 3.94% in August. Interestingly, the average rates charged on mortgages fixed for 1-2 years and 2-5 years were very similar to this. But the average rate charged on a mortgage fixed for more than five years was 4.27%.
In August, three quarters of home-buyers who took out fixed rate mortgages chose ones that were fixed for 1-2 years, a fifth chose 2-5 year products but only 4% picked ones longer than 5 years.
CML Director General Michael Coogan, said: "The latest figures continue to tell a story of a housing and mortgage market that is buoyant, but difficult for first-time buyers to enter.
"But the swing back in house purchase lending supports the view that the housing market saw a resurgence in confidence following the end of the war in Iraq, further amplified by the unexpected interest rate cut in July.
"The housing and mortgage markets have remained stronger for longer than we expected earlier this year. But we continue to expect a slowdown in house price growth - early evidence of this is already emerging. And people borrowing now should factor in an expectation of higher interest rates next year."
(gmcg)
This figure now accounts for 48% of total lending and compares with £11 billion (45%) in July, and £10.8 billion (52%) in August last year. The proportion of lending for house purchase was just 35% in April and May this year.
Remortgaging was still strong, say the CLM, at £9.4 billion (40% of the total). This was lower than July's £10.5 billion (43%), but up on last August's £8.2 billion (40%).
The survey also found that the average rate charged on a new variable rate mortgage was 3.94% in August. Interestingly, the average rates charged on mortgages fixed for 1-2 years and 2-5 years were very similar to this. But the average rate charged on a mortgage fixed for more than five years was 4.27%.
In August, three quarters of home-buyers who took out fixed rate mortgages chose ones that were fixed for 1-2 years, a fifth chose 2-5 year products but only 4% picked ones longer than 5 years.
CML Director General Michael Coogan, said: "The latest figures continue to tell a story of a housing and mortgage market that is buoyant, but difficult for first-time buyers to enter.
"But the swing back in house purchase lending supports the view that the housing market saw a resurgence in confidence following the end of the war in Iraq, further amplified by the unexpected interest rate cut in July.
"The housing and mortgage markets have remained stronger for longer than we expected earlier this year. But we continue to expect a slowdown in house price growth - early evidence of this is already emerging. And people borrowing now should factor in an expectation of higher interest rates next year."
(gmcg)
Related UK National News Stories
Click here for the latest headlines.
12 October 2004
Drop in cost of travelling drives inflation rate down
Inflation fell by 0.2% to 1.3% in September due in part to reductions in the cost of transport services, the Office of National Statistics (ONS) has said. The ONS said that the seasonal price drop in both air and sea fares from high summer levels drove inflation down as, in both cases, the reductions were greater than last year's.
Drop in cost of travelling drives inflation rate down
Inflation fell by 0.2% to 1.3% in September due in part to reductions in the cost of transport services, the Office of National Statistics (ONS) has said. The ONS said that the seasonal price drop in both air and sea fares from high summer levels drove inflation down as, in both cases, the reductions were greater than last year's.
20 August 2014
Mortgage Lending At Six Year High - CML
Mortgage lending has hit a six year high with £19.1 billion being lent in July, an increase of 7% from the previous month and a 15% rise from July last year.
Mortgage Lending At Six Year High - CML
Mortgage lending has hit a six year high with £19.1 billion being lent in July, an increase of 7% from the previous month and a 15% rise from July last year.
10 August 2004
Inflation dips to 1.4%
Inflation has dipped by 0.2% to 1.4% on the back of seasonal price reductions and summer sales in furniture last month, the Office of National Statistics (ONS) has said. The Consumer Price Index (CPI) now stands at 0.6% below the Bank of England's 2% target.
Inflation dips to 1.4%
Inflation has dipped by 0.2% to 1.4% on the back of seasonal price reductions and summer sales in furniture last month, the Office of National Statistics (ONS) has said. The Consumer Price Index (CPI) now stands at 0.6% below the Bank of England's 2% target.
21 May 2009
Mortgage Lending Falls By 9%
Mortgage lending declined to an estimated £10.4 billion in April, down 9% from £11.4 billion in March and 60% from £26.1 billion in April 2008, according to new data from the Council of Mortgage Lenders (CML). The CML said there is a slight fall for seasonal reasons as Easter fell in April this year, compared to March last year.
Mortgage Lending Falls By 9%
Mortgage lending declined to an estimated £10.4 billion in April, down 9% from £11.4 billion in March and 60% from £26.1 billion in April 2008, according to new data from the Council of Mortgage Lenders (CML). The CML said there is a slight fall for seasonal reasons as Easter fell in April this year, compared to March last year.
21 May 2004
Upward trend in mortgage lending continues rise, says report
Mortgage lending in April totalled £25 billion, 1% higher than in March and 25% higher than in April last year, according to the latest lending data from the Council of Mortgage Lenders (CML). House purchase loans accounted for 51% of gross lending, at £12.8 billion, matching the record figure of October last year.
Upward trend in mortgage lending continues rise, says report
Mortgage lending in April totalled £25 billion, 1% higher than in March and 25% higher than in April last year, according to the latest lending data from the Council of Mortgage Lenders (CML). House purchase loans accounted for 51% of gross lending, at £12.8 billion, matching the record figure of October last year.
-
Northern Ireland WeatherToday:A showery start with outbreaks most frequent north of Lough Neagh and through the morning, before dwindling during the afternoon as the northwest breezes ease and brighter spells of weak sunshine prosper. Maximum temperature 8 °C.Tonight:A dry night, save for a few light showers around the coasts, with prolonged clear spells and light winds bringing a frosty dawn for many in central and southern parts. Minimum temperature -3 °C.
