Mortgage affordability hits five-year high - CML

Homeowners typically needed only 10.6% of gross income in November 2009 to cover mortgage interest payments, down from 11.1% in October. Other than a brief low of 10.2% in mid 1996, this represents the lowest debt burden since the CML began recording the data in 1974. The debt burden on first-time buyers also reduced, with 14.4% of gross income needed in November 2009, down from 15.1% in October - the lowest since May 2004. Although lending volumes experienced a seasonal dip in November, with house purchase loans down 4% on the previous month, this represented a 66% increase on Nov...