Loan famine forces more into renting
GROSS mortgage lending last month was the lowest for October in 10 years. It was an estimated £12.4bn, unchanged from September but down nine per cent from £13.6bn in October 2009, according to the Council of Mortgage Lenders.
Speaking at its Mortgage Industry Conference, CML chairman Matthew Wyles said the year is likely to end on about £137bn gross lending, and £9bn net lending. In a normal market, gross lending would be between £200bn and £250bn.
The number of people unable to get on the property ladder and forced into rented accommodation is rising. Mr Wyles expects there will have been only 160,000 first-time buyers in 2010.