A ?seasonal dip? in lending mortgages has been reported by the Council of Mortgage Lenders (CML).
In November the number of mortgages passed to home buyers was down to 53,000 ? a fall of four per cent from the previous month. However, the underlying good news was that the figure was still 66 per cent higher than in November 2008, demonstrating what a better year for mortgages 2009 was compared with 2008.
The CML reported that first-time buyers were still having a tough time of it, having to put down an average deposit of a quarter of the property?s value to be considered for a mortgage. For those who have been getting a mortgage the low interests have meant that the amount of income buyers have to pay towards mortgage interest repayments was at its lowest level for over five years, according to the CML figures.
Michael Coogan, the director general of the Council, told BBC News: ?It is encouraging to see that mortgage interest payments are so affordable for home movers and first-time buyers. But with substantial deposits still needed to secure a mortgage, the market will continue to be relatively restrained for some time to come.?
These latest figures from the CML back up data from the Royal Institution of Chartered Surveyors (RICS) which suggest there has been a slowdown recently in the property market. The latest RICS survey showed that the rate of house price increases has slowed down since December.
Latest figures from the Department for Communities and Local Government (CLG) indicated last week that property prices were up by 1.7 per cent in November, putting them 0.6 higher than a year before.
