Gross mortgage lending growth misleading
Gross mortgage lending has grown over the last month, but this could be a misleading reflection of current wholesale funding problems, according to experts.
The Council of Mortgage Lenders (CML) reports a near six per cent rise in gross mortgage lending.
Meanwhile, the Building Societies Association (BSA) has reported lending "greater than in previous months".
However, the CML has warned that the gross mortgage lending rise to £32.4 billion in October from £30.6 billion in September predominantly reflects approvals prior to the current funding crisis.
CML director general Michael Coogan said: "The next few months will be a testing time as ongoing pressures in financial markets feed through into the wider economy."
"The mortgage market looks set to cool further as the impact of the higher interest rates and tighter credit conditions more generally continue to feed through," Adrian Coles, BSA director-general told Mortgage Introducer.
The Council of Mortgage Lenders (CML) reports a near six per cent rise in gross mortgage lending.
Meanwhile, the Building Societies Association (BSA) has reported lending "greater than in previous months".
However, the CML has warned that the gross mortgage lending rise to £32.4 billion in October from £30.6 billion in September predominantly reflects approvals prior to the current funding crisis.
CML director general Michael Coogan said: "The next few months will be a testing time as ongoing pressures in financial markets feed through into the wider economy."
"The mortgage market looks set to cool further as the impact of the higher interest rates and tighter credit conditions more generally continue to feed through," Adrian Coles, BSA director-general told Mortgage Introducer.
