Tuesday, September 30, 2008

A massive collapse in mortgage lending – first time borrowers/buyers finally see sense!

Lack of loans pushes approvals figure down by 95%

According to the Bank of England, net mortgage lending fell to £143m in August. This was less than 5% of the £3bn of net lending in July and the lowest level since records began in April 1993.

Posted by nelson @ 05:33 AM (946 views)
Please complete the required fields.



5 thoughts on “A massive collapse in mortgage lending – first time borrowers/buyers finally see sense!

  • planning4acrash says:

    This makes the recent boom look like a bear trap to a long term housing bear market that began 1992. Note that the majority suckered in this time were investors, not the general public. This is dynamite because MANY will be forced onto the SVR scrapheap.

    Reply
    Please complete the required fields.



  • planning4acrash says:

    Any stories from peeps looking for remortgaging or trying to get a new mortgage?

    Reply
    Please complete the required fields.



  • Although there is clearly an underlying collapse in mortgage applications, this drop has been exacerbated by what happened in August with people pulling out of potential purchases until the govt made a statement on the stamp duty holiday. The September figure will increase to what is still a very low figure but probably 500% higher than the August figure (or something daft like that) – so expect the Express to try and make capital out of that.

    Reply
    Please complete the required fields.



  • very good point pelethar.

    Reply
    Please complete the required fields.



  • P4AC – had my haircut on Monday – the guy who did it has just come off his 2 year fix and this month his mortgage repayment went up £500!!! He explained – his boss introduced him to a mortgage broker 2 years ago and they came up with a massive mortgage for him (in terms of earnings multiple). His boss was happy to verify false earnings. I was starting to really panic for the poor guy, but then I remembered that we don’t have sub-prime here so he’s bound to be OK…. Wonder how many there are like this around the country…

    Reply
    Please complete the required fields.



Add a comment

  • Your email address is required so we can verify that the comment is genuine. It will not be posted anywhere on the site, will be stored confidentially by us and never given out to any third party.
  • Please note that any viewpoints published here as comments are user´s views and not the views of HousePriceCrash.co.uk.
  • Please adhere to the Guidelines

Your email address will not be published. Required fields are marked *

You may use these HTML tags and attributes:

<a href="" title=""> <abbr title=""> <acronym title=""> <b> <blockquote cite=""> <cite> <code> <del datetime=""> <em> <i> <q cite=""> <s> <strike> <strong>