20-08-2007

Mortgage lending hits new high

Mortgage lending last month reached a new record level, data has revealed.

According to data released by the Council of Mortgage Lenders (CML), total gross mortgage lending reached a total of £34.4 billion.

However, this figure is one per cent lower than June's total.

"As we move into the autumn the cumulative effects of [recent] rate rises will become more pronounced, and we expect this to feed through to lower levels of mortgage lending as the year progresses," said the CML.

Despite the figures being lower than the previous month, last month's gross lending results are higher than the £30.6 billion reported for the same period in 2006.

July may tell a different story however, as house prices in London are beginning to fall and fewer mortgages are being sold.

The buy-to-let property market is still strong, but investors should make sure their mortgage is secure. Simply Business offers a range of mortgage rates from leading lenders, and makes the re-mortgage process as simple and easy as possible.

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