October gross mortgage lending up 13% year-on-year

"The underlying picture in the housing and mortgage markets has not changed dramatically over recent weeks. The immediate direction of house purchase activity is a little unclear, although the story for remortgages, with strong year-on-year increases in activity this year, is for the time being more straightforward. 

"With the government’s housing strategy and autumn statement due shortly, the housing market, with subdued levels of new build and demand, offers a tried and tested means of providing a timely stimulus to the wider economy."

Nicholas Leeming, business development director at Zoopla.co.uk, said:

“Despite a seemingly healthy year-on-year rise in gross lending, the market is in dire need of a tonic. The Bank of England has already made it clear it expects only marginal growth next year and unless something is done to help the property market there is a real danger that stagnation could turn to depression. Hopefully, the rumours that George Osborne will set out plans to underwrite first-time buyer loans in his Autumn Report will come to fruition. These are the buyers that lenders are reluctant to target. These are the buyers who are being hit worst by the high cost of living and low returns on savings. And these are the buyers that are vital in promoting health, growth and prosperity in the property market. First-timers hold the key to the ignition, it’s time more was done to help them turn it.”

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