Mortgage lending slides

Mortgage lending for housebuying has fallen by nearly a fifth, new figures have revealed.

Council of Mortgage Lenders (CML) figures for January indicate that the number of loans taken out was 50,300, 19 per cent less than the 62,000 purchased in December.

The amount of lending was down 17 per cent from £9.4 billion to £7.8 billion over the same period.

CML director general Michael Coogan said the situation reflected post-credit crunch reductions in mortgage availability for those seeking to get on the housing ladder.

"This is now having a discernible impact on lending criteria and the ability of first-time buyers to get into the housing market," he said.

Mr Coogan's view was echoed by Royal Institution of Chartered Surveyors chief economist Simon Rubinsohn, who said first-time buyers are presently "very much under the cosh".

Those unable to get on the housing ladder may look at the alternative strategy of self build.


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