Mortgage volumes depressed in 2008

IMLA’s market outlook for 2008 also expects house prices to remain flat in real terms but with large regional variations. IMLA says mortgage volumes are expected to fall as the effects of higher interest rates hit consumers, but says the market is starting from a particularly high point, with record volumes seen in the past two years. Peter Williams, executive director of IMLA, says: “The CML expects a 5.5% decline in mortgage volumes in 2008 relative to 2007 – which itself was a record year. Even a more pessimistic 10% decline would still see volumes considerably higher than in 2005 and ...