23
Jul
Expert: UK mortgage lending will stay the same
It would appear as though mortgage lending has stabilised in the
UK, according to one industry expert.
Catherine Hearnden, director of MyMortgageDirect, explained that as
long as house prices remain stable, the housing market is now over
the worst effects of the recession.
However, she does think that more help could be given to first time
buyers and homeowners without a great deal of equity.
Ms Hearnden adds that mortgage lending will remain at its current
rate because "if property prices stay as they are, too many people
are trapped in quite a high loan to value situation where the
lenders aren't offering competitive rates".
According to the Council of Mortgage Lenders, the average first
time buyer deposit was 24 per cent in January, the largest figure
on record.
Despite this, people were able to obtain credit because lower
interest rates and income multiples made payments easier.