Gross mortgage lending up 10%

People looking to find the best mortgage rates could be in luck as gross mortgage lending has increased.

According to the Council of Mortgage Lenders CML, gross lending is ten per cent stronger than it was a year ago.

In August this year it was an estimated £13.4 billion, an increase of six per cent on the figures from July and ten per cent more than the lending seen in August 2010.

It is also the highest monthly total for August since 2008.

However, CML chief economist Bob Pannell claims that the increase may be down to seasonal factors rather than just an increase in the availability of products with the best mortgage rates.

"The August performance more or less offset the weaker than expected July figure. Taking July and August together, lending has shown little change on the same months of 2009 and 2010," he explained.

Helen Adams, managing director at FirstRungNow.com, said that saving for a deposit is getting harder than ever as the average sum has increased tenfold, while wages have merely doubled.

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2011-09-20 14:53:07 © Moneyextra.com