Gross mortgage lending reached £20 billion in September estimated The Council of Mortgage Lenders – 2% higher than August’s lending total of £19.7 billion. In addition to the month-on-month rise, lending rose 12% year-on-year, from £17.8 billion in September 2014. This is the fourth month in a row that there has been a sharp improvement in year-on-year lending.
Gross lending in the third quarter of 2015 was therefore an estimated £61.4 billion. This is 18% higher than the £52.2 billion advanced in the second quarter, and an increase of 12% on the third quarter in 2014, when lending totalled £55 billion.
CML economist Mohammad Jamei said:
“Mortgage lending is currently enjoying its best spell since 2008.
As we expected, the second half of 2015 has seen a pick up in activity in the housing market after a slow start to the year. Low inflation, strong wage growth, falling unemployment and competitive mortgage deals are all helping to support housing demand.
We expect to see further modest growth towards the end of the year, although affordability pressures are likely to limit gains for home movers and first-time buyers”.