Mortgage Advice Bureau comments on October’s CML gross mortgage lending of £19bn

Brian Murphy, Head of Lending at Mortgage Advice Bureau (MAB), comments:

“The monthly rise in lending for October shows there’s plenty of life left in the market following the Mortgage Market Review (MMR). Successive falls in the two previous months were most likely a delayed effect as applications slowed during the switchover. But the signs are that activity is back up and running, with lenders firing on all cylinders to record the second highest monthly lending total of the year.”

“Anyone currently looking for a mortgage is in the fortunate position of having a choice of low rate products and the reassurance that affordability checks will ensure their finances can stand up to future rate rises. The 0.5% base rate continues to live a charmed existence, and while policy makers are caught up in a game of cat and mouse over the timing of the first rise, there is every chance that product pricing has further to fall – making the outlook even better for borrowers.”

“The market has been fundamentally reshaped under MMR and the return to growth has meant an especially busy time for brokers, who are increasingly in demand for advice on an unprecedented number of products.* Lenders are becoming more reliant on intermediaries to manage demand in a cost effective way and help match suitable customers to the right offers.”