Mortgage Demand 'Could Fall'

The HeraldJanuary 07, 2011

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Summary


LENDERS expect credit conditions to remain broadly steady in the first quarter of 2011 but are bracing for a further drop in mortgage demand and slightly higher losses from mortgage defaults, a survey by the Bank of England showed yesterday.

The central bank's quarterly credit conditions survey highlighted banks' continued reluctance to extend credit at a time of spending cuts and possible further house price falls.

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Mortgage Demand 'Could Fall'

"Some lenders r...

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