» Mortgage funding incresed by 200 per cent

More than 60,500 approvals for November '09

Article Published: 6th January 2010

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Mortgage lending has increased by £1.5 billion in November 2009, this was an increase of 4.85 per cent over the previous month and more than double the average lending figure of £0.7 billion over the previous months. House prices have increased and a senior spokesman for the Royal Institute of Chartered Surveyors, said: “The latest Bank of England figures support our view that increasing momentum in the housing market will see further rises in house prices during early 2010. Mortgage approvals have now been rising consistently for a year and the latest credit conditions survey from the Bank of England continues to suggest a gradual improvement in the lending environment overt the coming months”. Around 60,500 new mortgages were approved in November, which is 200 per cent higher than in November 2008.

Loan to value ratios for mortgage borrowers have fallen and although there is still very limited funding compared to the pre credit crunch levels of available credit, there are signs that new mortgages for both buy to let and residential properties will be made available during 2010.

Some lenders have announced that they will make funding far more readily available and new less stringent criteria will make borrowing easier for homeowners than in the recent past. Although those with bad credit will still struggle to find any lender prepared to take a risk on them and even with as little as just one late payment on their credit card a reason to refuse mortgage funding.