According to the latest data from CML, gross mortgage lending held steady in October and was an estimated £20.6 billion - closely matching September’s gross lending total of £20.5bn but 5% down on the £21.8bn this time last year.
Mohammad Jamei, CML senior economist, said: “Housing market sentiment is holding up well, with demand still strong. This has led to a pick up in approvals, as expected. The more pressing issue is on the supply side, where the lack of private sellers continues to be an obstacle for would-be borrowers.
For this reason, we expect lending in the months ahead to be driven more by remortgaging activity and less by house purchases. Remortgaging will be helped by competitively priced mortgage deals, which are encouraging borrowers to refinance.”
