LTVs at lowest level since early 1980s

First-time buyers typically borrowed 3.24 times their income, down from 3.33 in June and the lowest multiple since July 2006. Tighter lending criteria contributed to a 50% fall in loans to first time buyers in July compared to July 2007 at 17,300, down 5% on June. The CML also attributed the decline to the wait-and-see approach taken by many first time buyers as house prices continue to fall. Total gross lending rose 5% to £24.7bn in July from £23.6bn in June, but this is a decline of 28% from a year ago and the ninth consecutive monthly year-on-year decline. Tracker rate mortgages ha...