<< Most Recent Articles

Falling mortgage level recorded for July

Both the number and value of mortgages declined in the UK during July, the Council of Mortgage Lenders (CML) has revealed.

This fall was witnessed right across the mortgage market spectrum, with loans for both new homebuyers and remortgages decreasing in volume and value as affordability continued to worsen - the average income multiple for first-time buyers rose to a record 3.39 during this month.

According to the CML's data, the number of first-time buyer mortgages fell by seven per cent from June, while fixed-rate products continued to be the most popular, accounting for 79 per cent of loans for house purchases and remortgages.

CML director general Michael Coogan cautioned that "we cannot read too much into a single month's figures" before admitting that "the long-anticipated slowdown in the housing and mortgage markets may now be beginning to materialise".

"Affordability is ever more stretched, but consumers should not expect any immediate easing in the financial pressures they face," he added.

Nationwide has urged homeowners with fixed-rate loans to consider remortgaging or face a sharp upturn in their monthly payments when the deal reaches its end.

People who are struggling with the cost of running a home may like to consider a personal loan.

See how much you could borrow with a home loan from Lombard Direct.

11/09/2007 16:48:00

Most Recent Articles