Mortgage lending drops six per cent
Gross mortgage lending in February was 6 per cent down on February 2009, according to the Council of Mortgage Lenders.
Nick Leeming, of Zoopla, says: “However hard lenders try to paper over the cracks, the plain fact is that mortgage lending is still lower than a year ago, when the housing market was on its knees.
“There’s plenty of demand from buyers, which has the potential to catapult the property market to a full recovery. But transaction levels will remain subdued if the lack of mortgage funding on offer prevents buyers from purchasing a home.
“Unfavourable mortgage rates and prohibitively high deposit requirements mean first-time buyers continue to be the worst hit.
“It will be a long hard road to recovery in the property market unless lenders make mortgage finance more readily available to the right borrowers.”