Record low for house purchase loans

The figures from the Council of Mortgage Lenders (CML) reveal the worst monthly results since records began in 2002. In total, 42,200 house purchase loans were approved in August, down from 102,700 in August 2007. First time buyers accounted for more than a third of approved loans with 15,600. Loan value has fallen, down 14.8% to £6bn, with first time buyers taking £1.9bn of purchase loans. Remortgaging activity also dropped, down 20% with 74,000 loans approved, though remortgage values dropped less drastically, down 9% to £10bn. Tracker rates became more popular, with the proportion o...