The British Bankers' Association (BBA) has announced that mortgage lending rose by 4.3bn in July 2008 the same as June 2008. The figures that reflect, mortgages that have been approved but not actually lent, seem to indicate the housing market is beginning to steady.
Although a low number of mortgage approvals overall, warned against thinking the current housing market crisis was over.
David Dooks, from the BBA, warned that ‘It would be premature to think that the housing market will now start to recover’ this is supported by the latest figures that show the number of mortgages approved for house purchases rose very slightly from 22,369 in June to 22,448 in July, this looks good until you consider that it’s a massive 65% lower than the same month a year ago.
For those remortgaging, mortgages approved fell from 58,624 in June to 54,532 in July - a 21% fall on a year ago.
This is a likely result or people holding off getting a mortgage in recent months owing to a lack of availability of cheap deals and uncertainty in the housing market.
The average value of a home loan for house purchases was £138,000 in July. This was lower than the figures for each month during the past year, when the average value was above £150,000
Source: BBC, BBA
Last edited by IVA News on Tue Aug 26, 2008 12:01 pm, edited 1 time in total.