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Leonard Hatred

Mortgage Lending Down 9% In April

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On BBC News ticker. No story yet.

In the interests of fairness I think that this is news, given the ramping that's been taking place giving similar sized ticks upwards recently ;)

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To be fair, it's only just gone on. They're probably still writing up the story. But a 9% drop - that IS big!

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On BBC News ticker. No story yet.

In the interests of fairness I think that this is news, given the ramping that's been taking place giving similar sized ticks upwards recently ;)

Let's hope it's month on month. That will shut the bulls up again!

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Merci.

“It’s still too early to spot a clear pattern of recovery in the housing market as some commentators have suggested.

“Activity remains weak, and we have said we will see volatility in monthly lending figures as we bounce along at the bottom of the market. Our forecast for gross lending of £145 billion in 2009 remains unchanged.”

Recovereh.

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To be fair, it's only just gone on. They're probably still writing up the story. But a 9% drop - that IS big!

No its not. 9% of f*ck all is still f*ck all!!!! :lol::lol::lol:

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Gross mortgage lending declined to an estimated £10.4 billion in April, down 9% from £11.4 billion in March and 60% from £26.1 billion in April 2008, according to new data from the Council of Mortgage Lenders.

There is a slight fall for seasonal reasons as Easter fell in April this year (Easter was in March in 2008). Taken together, lending for March and April is down 57%

TBH, I was expecting a drop because of Easter, after looking at previous years

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The BBC Page has been updated...

http://news.bbc.co.uk/1/hi/business/8060872.stm

Total mortgage lending down again

Still no obvious recovery say lenders

The total amount of mortgage lending fell again in April, the Council of Mortgage Lenders (CML) said.

The amount lent by its members stood at £10.4bn, down from £11.4bn in March, and was 60% lower than in April 2008.

The CML said the drop during last month was due to a seasonal factor, with Easter falling in April this year, rather than in March a year ago.

The lenders organisation played down recent suggestions that the housing market may be about to pick up.

"It's still too early to spot a clear pattern of recovery in the housing market as some commentators have suggested," said the CML's director general Michael Coogan.

"Activity remains weak, and we have said we will see volatility in monthly lending figures as we bounce along at the bottom of the market," he added.

Edited by stew

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“Activity remains weak, and we have said we will see volatility in monthly lending figures as we bounce along at the bottom of the market. Our forecast for gross lending of £145 billion in 2009 remains unchanged.”

[End Quote]

April last year saw £26.1 billion worth of transactions. This April say just more than 1/3rd of that (£10.4 billion). How does the CML work out that we have bottomed out/ be 'bouncing along the bottom' when transaction rates are 1/3rd of when the prices were falling at the fastest rate since records began?

*sigh* ... CML shows it's inability to analyse the most basic of ideas.

Aidanapword

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I've never really taken much notice of the gross lending figures, but have just looked at the spreadsheet they publish on their prese release today. My interpretation is that lending over the past 12 months has been dwindling steadily, and is now bouncing along the bottom. Have I read that right?

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The housing market is like a supertanker coming into dock. They have to thrust in reverse for 20 miles to stop the behemoth.

Housing cannot snap back up in a V shaped recovery without first coming to halt.

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Gross mortgage lending declined to an estimated £10.4 billion in April, down 9% from £11.4 billion in March and 60% from £26.1 billion in April 2008, according to new data from the Council of Mortgage Lenders.

There is a slight fall for seasonal reasons as Easter fell in April this year (Easter was in March in 2008). Taken together, lending for March and April is down 57% on a year earlier.

CML director general Michael Coogan said:

“It’s still too early to spot a clear pattern of recovery in the housing market as some commentators have suggested.

“Activity remains weak, and we have said we will see volatility in monthly lending figures as we bounce along at the bottom of the market. Our forecast for gross lending of £145 billion in 2009 remains unchanged.”

I am shocked that this is not generating more of a reaction on HPC.

Down 9% from March and 60 % from April 2008 despite ALL THE RAMPING.

As for Coogan's response, why would anyone be looking for a pattern of recovery in loan figures that have fallen 60% in a year? Surely you would be looking at just how much more they will fall before everyone admits that property was HUGELY overvalued and is now adjusting to sensible sustainable lending levels based on deposits.

With lending down £200bn from 2007 how can prices not fall and fall and fall?

So who would want to buy? Only the truly desperate surely.

Will be interesting to see how this gets reported when we have suffered weeks of endless ramping and weeks of endless threads by Rinoa on the March figures ! Can anyone find a Rinoa thread on the CML March figures and post this.

Also interesting to consider that last months figures were , "the lowest quarterly lending total since the first quarter of 2001" and this month they have gone DOWN 9%.

HPC Link

It was only last week we were discussing the March figures , any idea why the BBC reported the March figures only last week?

The title last week was "Sharp Rise in Mortgage Lending" so why not this week "Steep fall"?

Edited by Sybil13

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Down 9% from March and 60 % from April 2008 despite ALL THE RAMPING.

With lending down £200bn from 2007 how can prices not fall and fall and fall?

So who would want to buy? Only the truly desperate surely.

Will be interesting to see how this gets reported when we have suffered weeks of endless ramping ...

I am really surprised to read of such a drop in lending for April, especially bearing in mind, it is traditonal "Spring bounce" buying time.

I bet these figures will be hardly mentioned in the media, and their desperate ramping will continue.

It also amazes me, how anyone can think of buying in the current climate.

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where's that stupid wine glass smiley when you need it, Rinoa?

Anyway I'm gonna say the same as if it was 9% up - transactions/lending so low as to render this pretty meaningless. Still, at least we might not get so much bull from the bulls this month.

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Re "the market bouncing along the bottom"...

To be charitable to CML, they could mean that transaction volumes are bouncing along the bottom, which I think is probably true.

And they may not necessarily be intending to give the false impression that prices are bouncing along the bottom.

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I don't recall last month's 'improvement' citing Easter as a factor.

QUITE - but I don't suppose we will read about the "STEEP FALL" in mortgage lending either! ;)

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Gross mortgage lending is not exclusively house purchase loans. It includes remortgages too.

Remortgaging is not as prevalent of late as most lenders SVR are better than current deals.

These figures also lag recent events by a couple of months as they record when money actually left the bank.

Think of February approvals.

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