It still Record Mortgage lending In February 2007

The Council for Mortgage lenders have reported the highest ever figures for lending in February. Lending was 24.6 billion up 9 % on February 2006. Although this amount is some 7% lower than January 2007, it does indicate that at least for the moment, there is continued confidence in the UK Housing Market. The continued spectre of interest rate rises appears to be having little effect and there seems to be little dampening of enthusiasm for property purchase, many people believe that if they don't get on the property ladder now they never will. This factor coupled with the continuing interest in buy to let purchase is keeping the housing market buoyant.

Of course, interest rate increases take a little to to filter through to the markets and we may now be seeing property prices peaking. The next few months will be very interesting, although the economy appears to be in good shape and unemployment stable, if continued interest rate rises start to dent confidence, we may see borrowing taper off a little and property prices whilst not expected to fall may become a little more stable