Mortgage market 'needs confidence boost'

People need to have more confidence in the mortgage market if it is to improve, an expert has said.

Catherine Hearnden, Director at MyMortgageDirect, emphasised that there is a lot of negative messaging about the property market portrayed by the media, which does not help the situation.

"It has been the case forever that if you tell someone that there will be a recession, they believe it and then they start acting in the way that you act when there is a recession," she explained.

Ms Hearnden said that all the mortgage market needs is a "little spark of confidence" in order for applications to pick up and also for people to stop reading too much into reports of a double-dip recession.

According to statistics from the Council of Mortgage Lenders, gross mortgage lending totalled an estimated £13.6 billion in July.

This marks a 5% rise when compared to the previous month.

Posted by Martin Ellis