RICS: CML September mortgage lending data

Commenting on the CML mortgage lending data, Simon Rubinsohn, RICS chief economist said: "The latest CML data very clearly demonstrates the continuing squeeze on mortgage lending. However it is encouraging that the temporary increase in the stamp duty threshold does appear to be encouraging some new entrants into the market. Buyer enquiries, having edged up further in the October RICS survey, should get a further boost from the latest reduction in interest rates. On the basis of this, it is not unreasonable to conclude that transaction levels are now pretty close to a floor. Nevertheless, prices are likely to continue to weaken for some time to come with rising unemployment increasing distress selling and in the process raising the inventory overhang of unsold properties."