Mortgage Lending Down in May 2011

According to figures released by the Council of Mortgage Lenders (CML), only 41,500 mortgages were completed in May.  This is the lowest seen since the property crash of 2009, when house prices were falling (Halifax House Price Index)  annually at a rate of 16%.

Since the CML began compiling monthly data in 2002, this is the 2nd lowest May figure and the number of home buyers is nearly 60% below the May average of 100,000 recorded up to 2007.

The latest figures show some interesting figures; all home-buyers down 5.25% on a year ago, first-time buyers down 2.5% and next-time buyers down 6.9%.

The CML report also showed that people moving are having a deposit of 31% (average).