A recent report released by the Council of Mortgage Lenders has claimed that the level of mortgage lending for the month of April fell back again, following a surprise increase in mortgage lending for the month of March.

The March increase led many industry officials to speculate over whether the housing and mortgage markets were set on the path to recovery, but the April lending figures could sway the predictions of many industry experts that the markets are set to recover more quickly.

According to the CML figures the value of mortgage lending in March came to £11.4 billion, but for the month of April this fell to £10.4 billion. Moreover, the value of mortgage lending for April of this year was a massive 60 percent down on the same month last year.

However, the fall for April has been put down to seasonal factors, according to the CML, and this was because Easter fell in April this year, where as last year it fell in March.

A senior official from the Council of Mortgage Lenders said: “It’s still too early to spot a clear pattern of recovery in the housing market as some commentators have suggested. Activity remains weak, and we have said we will see volatility in monthly lending figures as we bounce along at the bottom of the market.“

There has been some encouraging news in the mortgage and property markets, and the Bank of England recently stated: “Mortgage applications have risen in recent months and approvals for house purchase have edged higher, though remain close to historical lows.”

However, it added: “Some lenders have said that difficulties in valuing properties in present market conditions can lead to delays in the mortgage valuation process, so that the lag between a pickup in mortgage applications and approvals may be longer than normal.”

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