The UK property market is forecast to have a quiet summer, as bank lending remains subdued and the country's economic forecast is uncertain.
According to the Council of Mortgage Lenders (CML), there was a slight increase in mortgage lending in April, although this was twinned with a decline in property purchase approvals.
The firm explained that there were 40,900 loans, worth £5.9 billion, advanced for house purchase in April, up from 37,900, worth £5.5 billion, in March and down from 41,900, worth £6 billion, a year earlier.
Michael Coogan, CML director general, commented on the news, stating that overall the market continues on a stable footing and the increase in house purchase lending is a good sign that the stability will continue throughout 2011.
"The economic outlook, coupled with Bank of England subdued approvals data for April, suggests a muted summer for mortgage completions so we do not expect further increases in lending over the coming months," he added.