RICS comment on Bank of England mortgage approval figures

Commenting on today’s mortgage lending numbers, David Stubbs, RICS senior economist said: "Activity in the housing market continues to subside. Housing affordability for first time buyers has been worsened by recent interest rate increases, and the prospect of further rises in coming months is sapping market sentiment. The result is weaker demand, with mortgage approvals now down 16% from their peak in November. Activity in the housing market will continue to decline as the year progresses. However, It would take a significant slow down in economic growth to produce steeper declines."