Mortgage lending fell by 10% in November as the market experienced its traditional seasonal slowdown, the latest figures have shown.
A total of £12 billion was advanced during the month, down from £13.3 billion in October and 14% less than in November last year, according to the Council of Mortgage Lenders (CML).
The group said a modest decline was typically seen between October and November, although the 10% fall was “a little larger” than normal.
Mortgage lending totals include mortgages for new property purchases and remorgaging.
Sue Anderson, CML’s head of member and external relations said: “Aside from the seasonal slowdown, there is a continuous lack of appetite for remortgaging.”
The number of people seeking new mortgages dropped by almost 60% between 2008 and 2009 October, according to CML data.
“People tend to stick with their existing mortgage scheme as rates are more attractive than in case of a new deal.” she said.
Despite the fall, the report claims that market conditions were holding steady and not much change is expected during the coming months.
“We shouldn’t place too much emphasize on monthly figures because they tend to be very volatile, especially at the moment,” Ms Anderson warned.
Tags: Council of Mortgage Lenders, mortgage, mortgage lending, mortgage rates
