Net lending may hit minus £25bn in 2009 - CML

In its mortgage market forecast for 2009, the trade body says activity within the housing market will remain extremely subdued, with around 700,000 housing transactions in 2009, down from around 900,000 this year and 1.6 million in 2007. It predicts gross mortgage lending of around £145bn next year, down from around £258bn this year, and £363bn in 2007. The situation with arrears is also expected to get worse. The CML forecasts by the end of 2008, 210,000 households will be more than three months in arrears, and this number is expected to increase to 500,000 by the end of 2009. Reposs...