Cambridge, 24 July, 2013 - The Council of Mortgage Lenders (CML) has reported a significant increase in lending in the past year. While June 2013 showed only a 2% increase on the previous month, gross lending was up by an impressive 26% compared to June 2012. Total mortgage lending reached £14.7bn, the highest level since October 2008.
The CML claims that, for consumers, the cost and availability of mortgage products has improved significantly, and that this trend looks set to continue in the immediate future.
However, market commentators, letting and estate agents, and economists point to the fact that housing market activity and transactions - although experiencing a recent surge - are still well below previous levels - and are just half the levels seen a decade earlier.
House price forecasts have seen a boost, mainly as a result of recent activity levels and the additional kick-start offered by the government's help to buy scheme, with some analysts revising previously flat house price forecasts, and instead predicting increases of roughly 3.5% this year, followed further increases next year.